Oil prices dip as status of US-Iran peace talks remains unclear
Prices rose again amid reports that three ships had been attacked by Iran in the Strait of Hormuz
Oil prices are in flux after US President Donald Trump announced an extension of a two-week ceasefire with Iran until peace talks have progressed.
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A two-week pause in hostilities between the two countries had been due to expire on Wednesday evening, Washington time. Trump did not give a deadline for the ceasefire extension.
However the US will continue to blockade Iranian ports until Tehran presents a "unified proposal", President Trump added.
The global benchmark wholesale oil price dipped to $97.60 (£72.14) a barrel after the announcement.
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However the price climbed back up again amid reports of ships being attacked in the Strait of Hormuz, hitting $100 a barrel before dropping slightly.
At least three ships were attacked by Iran, hours after Donald Trump extended the ceasefire in the Middle East.
Energy markets have been in continuous flux since the US and Israel attacked Iran on 28 February.
Iran responded by effectively blocking the Strait of Hormuz waterway, which is one of the world's busiest oil shipping lanes.
The cost of crude has increased dramatically since the conflict started as a result of the closure.
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The ONS found that the average price of petrol rose by 8.6p per litre between February and March to 140.2p per litre.
This marked the highest price since August 2024.
Diesel prices meanwhile increased by 17.6p per litre in March to an average of 158.7p per litre, the highest price since November 2023.
Writing on Truth Social, Mr Trump said the Iranian government had been "seriously fractured".
He said the US would refrain from launching fresh attacks after Pakistan called for Tehran to be given more time to agree a deal.
Vice President JD Vance, who is leading the talks, had been due to fly to Islamabad in Pakistan on Tuesday for negotiations but his trip was later postponed.
Iran has also not decided whether to send a delegation to Pakistan for the talks.