Iran’s rejected truce proposal has become the centre of the Gulf standoff. Here is what Tehran offered and why Washington said no.

The offer, conveyed through Qatari mediators on Saturday, proposed a seven-day truce. On the seventh day, the Strait of Hormuz would fully reopen, Iran’s frozen assets would be released, and sanctions and the blockade would be lifted.

US President Donald Trump rejected it. Washington wants deeper concessions from Tehran and is keeping military and economic pressure in place.

The fallout was immediate. Brent crude surged about 2.46 per cent to nearly $107 a barrel as traders priced in a longer confrontation around the world’s most critical oil chokepoint.

For India, the stakes are direct. The country imports the bulk of its crude, and every $10 rise in oil prices widens the import bill and stokes inflation.

What next: mediators say the proposal stays on the table, but with neither side blinking, oil markets face weeks of volatility.