By Palestine Chronicle Staff  

US President Donald Trump rejected Iran’s response to a US peace proposal as oil prices surged and tensions escalated across the region.

Key Developments

• Donald Trump rejected Iran’s response to a US peace proposal as “totally unacceptable.”
• Iran demanded an end to the war on all fronts, especially Lebanon.
• Tehran also called for lifting sanctions and ending the US naval blockade.
• Oil prices surged amid fears the Strait of Hormuz crisis could continue.

Trump Rejects Iranian Response

US President Donald Trump rejected Iran’s response to a US proposal aimed at ending the war, describing Tehran’s counterproposal as “totally unacceptable.”

According to Reuters news agency, Iran delivered its response through Pakistani mediators following recent diplomatic efforts to halt fighting and reopen negotiations.

“I don’t like it — TOTALLY UNACCEPTABLE,” Trump wrote on Truth Social without providing additional details.

Iran’s proposal reportedly focused on ending the war “on all fronts,” especially in Lebanon, where Hezbollah continues fighting Israeli occupation forces.

Iranian state media said Tehran also demanded compensation for war damages and reaffirmed Iranian sovereignty over the Strait of Hormuz.

The semi-official Tasnim News Agency reported that Iran additionally called for an end to the US naval blockade, guarantees against future attacks, the lifting of sanctions, and the removal of US restrictions on Iranian oil exports.

Iran Sends Response to US Proposal, Demands End to War across All Fronts

Oil Prices Surge

Oil prices reportedly rose more than four dollars per barrel on Monday following reports of continued diplomatic deadlock and persistent disruptions in the Strait of Hormuz.

Before the war erupted on February 28, approximately one-fifth of global oil and liquefied natural gas shipments passed through the strait.

Reuters reported that only three crude oil tankers successfully exited Hormuz last week, with vessel tracking systems switched off to avoid potential Iranian targeting.

Senior market analyst Priyanka Sachdeva told Reuters that oil markets are now reacting sharply to every statement emerging from Washington and Tehran.

Netanyahu Says War ‘Not Over’

Meanwhile, Israeli Prime Minister Benjamin Netanyahu said the war against Iran remains unfinished.

In an interview with CBS’s “60 Minutes,” Netanyahu said there is still “more work to be done” regarding Iran’s enriched uranium stockpile, nuclear facilities, ballistic missile program, and regional allies.

Asked how Iran’s enriched uranium should be removed, Netanyahu replied: “You go in and you take it out.”

Trump also suggested the United States could resume attacks on Iran if necessary.

“We have certain targets that we wanted, and we’ve done probably 70% of them,” Trump said, according to The Guardian.

Hormuz Tensions Continue

The ceasefire brokered in April has shown increasing signs of strain in recent days.

BREAKING: President Trump on Truth Social: “I have just read the response from Iran’s so-called ‘Representatives.’ I don’t like it — TOTALLY UNACCEPTABLE! Thank you for your attention to this matter. President DONALD J. TRUMP” pic.twitter.com/x4qiKHuFsC

— RedWave Press (@RedWavePress) May 10, 2026

The United Arab Emirates and Kuwait reported drone incursions into their airspace on Sunday, while Qatar condemned a drone attack targeting a cargo vessel in its territorial waters.

Qatari Prime Minister Mohammed bin Abdulrahman Al Thani warned Iran that using Hormuz as a pressure tool would deepen the crisis and threaten maritime navigation.

Iran, however, warned London and Paris against deploying warships to the Gulf.

Despite US pressure to maintain the ceasefire, Israel has continued to attack Lebanon. 

Lebanon’s Health Ministry reported that 36 people were killed and 74 wounded in Israeli strikes on Saturday, including paramedics injured during attacks in southern Lebanon.

(PC, Reuters, The Guardian)