Pakistan, May 11 -- Global oil prices surged on Monday after US President Donald Trump rejected Iran's latest response to a US peace proposal, renewing fears of prolonged supply disruptions as tensions around the Strait of Hormuz continue to unsettle markets.

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Brent crude futures rose by $4.16, or 4.11 per cent, reaching $105.45 per barrel in early trading. US West Texas Intermediate crude also climbed $4.38, or 4.59pc, to $99.80 per barrel.

The sharp gains followed Trump's statement that Iran's reply to Washington's proposal was "totally unacceptable," dampening expectations of an imminent diplomatic breakthrough in the 10-week conflict that has disrupted shipping and ti...