Oil prices dip as US-Iran tensions threaten supply amid fragile ceasefire

Oil prices fell on Tuesday after sharp gains the previous day, as traders weighed risks of supply disruptions due to escalating US-Iran tensions. A fragile ceasefire appeared near collapse following Iranian drone and missile attacks on the UAE and US strikes on Iranian vessels in the Strait of Hormuz. Despite global oil inventories not being critically low, regional shortages and rapid depletion of refined products raise concerns. Experts warn fuel shortages could worsen in coming weeks if the strait remains closed, impacting supply chains in key regions like South Africa, India, Thailand, and Taiwan.