Crude Oil Futures Climb Over 3% to ₹9,707/Barrel; Brent Breaches $107

 Crude oil prices rose more than 3 per cent to Rs 9,707 per barrel in futures trade on Tuesday after US President Donald Trump cast doubt on the durability of the Iran ceasefire, reviving fears of renewed hostilities that could disrupt supplies from West Asia.

On the Multi Commodity Exchange (MCX), crude oil for May delivery appreciated by Rs 331, or 3.53 per cent, to Rs 9,707 per barrel in a business turnover of 12,239 lots.

Similarly, the June contract also gained Rs 278, or 3.05 per cent, to Rs 9,392 per barrel in 5,941 lots.

In the international markets, Brent oil for July delivery gained USD 3.02, or 2.90 per cent, to USD 107.23 per barrel, while West Texas Intermediate for the June contract rose USD 3.15, or 3.21 per cent, to USD 101.22 per barrel in New York.

Analysts said the gains came after Trump described the ceasefire with Iran as being "on life support" and rejected Tehran's latest peace proposal, raising speculation that military operations could resume if negotiations fail.

The comments renewed concerns over the future of the Strait of Hormuz, a critical artery for global crude shipments, where traffic remains heavily restricted despite diplomatic efforts to stabilise the region.

Saudi Aramco President and Chief Executive Officer Amin Nasser said prolonged disruption in the Strait of Hormuz is costing global oil markets nearly 100-million barrels of supply every week, heightening fears of tighter energy availability and slower global growth.

Even if the Strait of Hormuz reopens, recovery will not be immediate, he added.

Meanwhile, investors are awaiting US inflation data later in the day for fresh cues on the US Federal Reserve's monetary policy outlook.

Market participants are also closely tracking Trump's upcoming meeting with Chinese President Xi Jinping, where discussions are expected to include Iran, trade and global energy security.

According to analysts, the discussions could play a crucial role for the direction of the Iran conflict as China remains Tehran's largest oil buyer and holds considerable influence over the Islamic Republic.