Oil prices rise 6pc on fears of US-Iran ceasefire collapse

Oil prices jumped around 6 percent in Monday trading on uncertainty over peace talks between the US and Iran after violence flared around the Strait of Hormuz. Brent crude futures settled USD5.10, or 5.64 percent, higher to USD95.48 a barrel. US West Texas Intermediate advanced USD5.76, or 6.87 percent, at USD89.61. Both contracts had tumbled by 9% on Friday for their largest daily declines since April 18 after Iran said that passage for all commercial vessels through the Strait of Hormuz was open for the remainder of the ceasefire. Over the weekend, the US seized an Iranian cargo ship that tried to break through its blockade while Iran said it would retaliate, heightening fears of a resumption in hostilities.