Oil prices fall below $90
What's the story
Oil prices have witnessed a slight decline as tankers continue to operate in West Asia, despite rising tensions. Brent futures fell by 1.42% to $89.45 per barrel, while US West Texas Intermediate (WTI) crude dropped by 0.66% to $83.9 per barrel. The Bab el-Mandeb strait saw the highest number of commodity ships since July 19, with 39 vessels transiting on Tuesday alone.
Shipping challenges
Strait of Hormuz mostly blocked since US-Iran war began
The Strait of Hormuz, a key oil shipping route where around a fifth of global oil and gas flows passed previously, has been mostly blocked since the US-Iran war began in February.
An Iranian official recently rejected an Omani proposal for regional joint management of this crucial waterway.
Meanwhile, US-Saudi airstrikes in Iraq targeted Iran-backed paramilitary forces on Wednesday.
Retaliation
Iran claims to have fired at US bases in Jordan
In retaliation for drone attacks on its oil targets from Iraq, Saudi Arabia publicly joined US airstrikes against Iran-backed paramilitary forces in Iraq.
Separately, Iran claimed to have fired at US bases in Jordan and attacked three tankers passing through the Strait of Hormuz, calling it an "unauthorized route."
The situation continues to escalate as tensions remain high in the region.