Trump Rejects Iran Truce Extension as Oil Tops $90

Oil prices extended their gains on Tuesday and Asian stock markets mostly retreated as diplomatic efforts to broker a US-Iran deal to reopen the Strait of Hormuz appeared distant, a day after the deadline for a 60-day truce expired. The failure to extend the agreement heightened concerns over a prolonged Middle East crisis, keeping crude oil prices elevated near $90 a barrel and pressuring government bond yields.

President Donald Trump stated on Monday he would not seek an extension of the memorandum of understanding signed in June, which technically expired that day. The truce had been intended to provide a window for Washington and Tehran to negotiate a longer-term peace deal. Iran declared the agreement irrelevant, citing early violations by the United States. Despite this, Jared Kushner, the president's envoy and son-in-law, indicated that talks were ongoing, describing them as "very positive and active conversations" while acknowledging a significant lack of trust between the nations. "President Trump is going to be very patient... he doesn't want to rush to a deal," Kushner told Fox News.

The geopolitical friction centered on the Strait of Hormuz, a critical waterway...