New York (TDI): Brent crude oil prices held close to $114 a barrel on Tuesday despite a slight pullback, as escalating tensions in the Middle East continued to keep markets on edge.
Brent futures slipped by 93 cents, or 0.8%, to $113.51 per barrel in early trading after a sharp 5.8% surge in the previous session. Meanwhile, West Texas Intermediate crude fell $2.16, or 2%, to $104.26 per barrel, following a 4.4% gain a day earlier.
Analysts said oil markets remain highly volatile, largely driven by ongoing developments around the Strait of Hormuz, a critical route that carries roughly 20% of the world’s oil and gas supply.
Shipping giant Maersk said one US-flagged vessel, the Alliance Fairfax, had successfully exited the Gulf through the Strait under military escort, suggesting that limited transit remains possible despite the risks.
At the same time, Iran has continued strikes in the Gulf in response to US actions, with reports of commercial vessels being hit and a major oil facility in the United Arab Emirates catching fire following an attack.
Read More: UAE Says Iranian Drone Strike Hits Fujairah Oil Industry Zone
The escalation marks one of the most significant developments since a ceasefire was announced weeks ago, raising concerns about potential disruptions to global energy supplies.
Read More: Oil Gains as US–Iran Talks Stall and Strait of Hormuz Risks Persist
With uncertainty persisting, traders continue to closely monitor geopolitical developments, particularly any shifts in military activity or diplomatic progress that could impact oil flows through the Strait.
