Oil prices increase as the stalemate in the Iran conflict shows no signs of resolving.

Oil prices continued to rise on Tuesday as attempts to resolve the U.S.-Iran conflict seem to be hindered, with the vital Strait of Hormuz largely closed, preventing energy supplies from the significant Middle Eastern production area from reaching global markets.

A U.S. official stated on Monday that President Donald Trump is dissatisfied with the recent Iranian proposal intended to conclude the conflict. Iranian sources revealed on Monday that Tehran’s plan refrained from addressing its nuclear program until hostilities conclude and Gulf shipping disputes are settled.

Trump’s dissatisfaction with the Iranian proposal results in a stalemate, as Iran halts shipping through the Strait of Hormuz, which usually accounts for approximately 20% of global oil and gas consumption, while the U.S. maintains its blockade of Iranian ports.

Brent crude futures for June increased by 45 cents, or 0.4%, reaching $108.68 a barrel as of 0051 GMT, following a 2.8% rise in the prior session, marking its highest closing since April 7. The contract has reached its seventh day.

U.S. West Texas Intermediate (WTI) crude for June increased by 58 cents, or 0.6%, to $96.96, following a 2.1% rise in the prior session.

Previous negotiations between the U.S. and Iran disintegrated last week after unsuccessful in-person discussions.According to Fawad Razaqzada, a market analyst at City Index and FOREX.com, the critical factor for oil traders is no longer rhetoric, but rather the tangible physical flow of crude oil through the Strait of Hormuz, which is currently restricted.

Razaqzada stated that even if a resolution is attained, production disruptions and logistical difficulties may result in a recovery period of many months.

Ship-tracking data indicated substantial disturbances in the region, as six Iranian oil tankers were compelled to retreat due to the U.S. blockade.

On Monday, ship-tracking data indicated that a liquefied natural gas tanker operated by the Abu Dhabi National Oil Company of the United Arab Emirates successfully traversed the Strait of Hormuz and is currently in proximity to India.

Before the U.S.-Israeli conflict with Iran commenced on February 28, between 125 and 140 vessels navigated the channel everyday.