The tense situation in the Middle East did not disrupt the flow of oil, causing crude oil prices to fall.

Crude oil futures fell on Monday, giving back earlier gains, as traders assessed that the impact of the new round of hostilities between Israel and Iran on oil production and exports would be limited, and the crude oil market remained stable due to uninterrupted oil transport. However, traders are still closely watching the situation in the Strait of Hormuz. If Iranian exports are blocked, major buyers of Iranian oil may turn to other Middle Eastern or Russian grades of crude, narrowing the Brent-Dubai price spread and putting pressure on the profit margins of Asian refineries.