Iran has decided to suspend its ongoing indirect peace talks with the United States, citing Israel’s recent military operations and the deteriorating situation in Lebanon. The semi-official Tasnim news agency reported on Monday that Tehran halted communications and negotiations being conducted through mediators aimed at easing Middle East tensions and reaching a possible understanding with Washington. The decision followed continued Israeli attacks in Gaza and Lebanon.

Following Iran’s announcement, global energy markets reacted sharply. Brent crude for August delivery rose nearly 5 percent to over 95 dollars per barrel, while U.S. benchmark WTI crude climbed about 6 percent to above 92 dollars. Tasnim noted that Israel’s military actions in Lebanon and alleged violations of ceasefire terms were key factors behind Tehran’s move. Iran had earlier emphasized that an effective ceasefire in Lebanon was essential for any regional peace initiative.

On the same day, Israeli Prime Minister Benjamin Netanyahu ordered new airstrikes near Beirut and expanded operations in Hezbollah-controlled areas. Iran reiterated its continued support for Hezbollah and regional resistance movements.