Recent developments in the oil market reflect a complex situation influenced by escalating tensions between the US and Iran. As reports indicate a potential first annual decline in world oil demand since 2020, prices remain volatile, with significant fluctuations following military actions and sanctions linked to the Strait of Hormuz. The International Energy Agency (IEA) has warned that ongoing conflicts could threaten future oil supply recovery, while market analysts express concerns over a possible surplus. With Iranian attacks on commercial ships and subsequent revocations of oil sale waivers by the US intensifying fears of supply disruptions, traders remain cautious as they monitor the evolving geopolitical landscape. Despite these risks, some market gains are noted, suggesting a tentative recovery amid fluctuating prices.