Oil prices ease on Tuesday 

Brent crude futures retreated Tuesday, easing 93 cents to $113.51 per barrel after surging 5.8 per cent the previous session, as fresh hostilities in the Strait of Hormuz kept markets on edge. US West Texas Intermediate (WTI) crude fell $2.16 to $104.26.

The US and Iran exchanged new attacks in the Gulf on Monday in a battle for control over the strait, which carries roughly 20 per cent of daily global oil and gas demand. Iran struck several commercial vessels and set a key UAE oil port ablaze, marking the conflict’s biggest escalation since a ceasefire was declared four weeks ago.

Washington launched “Project Freedom,” a naval operation aimed at reopening the strait to shipping. Maersk later confirmed its US-flagged vessel Alliance Fairfax exited the Gulf via the strait under military escort — though analysts cautioned the move was limited in scope.

Markets drew some comfort from President Trump’s suggestion the conflict could last another two to three weeks, though analysts at ING flagged considerable scepticism given repeated extensions to projected timelines since hostilities began.

Attribution: Reuters