Oil prices edged higher on Tuesday after a steep selloff in the previous session, with the market finding some support from ongoing worries about supply risks in the Middle East. The rebound was modest, but it showed that traders remain sensitive to any threat that could disrupt crude flows.
The main concern remains the conflict involving the United States and Iran, which has kept uncertainty high across energy markets. Even after the earlier drop in prices, investors were still weighing the possibility that tensions could affect oil availability from a region that plays a major role in global supply.
Hopes for a diplomatic breakthrough appeared limited, according to the latest market signals. With no clear sign of a resolution, traders continued to price in the risk that the situation could stay unstable and keep pressure on oil markets.
Attention also stayed on shipments through the Strait of Hormuz, a key route for the movement of crude. Any prolonged threat to flows through that corridor could quickly shift sentiment again, which is why oil prices remain highly reactive even after brief periods of selling.
