Oil futures slipped Tuesday as traders priced in a likely technical correction after a night of solid gains. Front‑month WTI crude fell 0.6% to $71.52 a barrel, reversing earlier upside. The move comes amid lingering supply worries following an Iranian IRGC attack on a Singapore‑flagged cargo vessel in the Strait of Hormuz. The decline also curbed Brent’s climb above $80.

Analysts at ANZ Research noted several commercial ships turned back while attempting the transit, heightening doubts about the supply recovery that followed the waterway’s recent reopening. The incident underscores geopolitical risk that can quickly offset technical buying pressure, keeping market participants wary of any further rally in crude prices.

With WTI now hovering just above $71, traders will likely watch for any escalation in the Hormuz corridor before committing to larger positions. Short‑term volatility appears to persist, and the recent dip may prove a buying opportunity for those betting on a swift de‑escalation for value investors.

Oil majors watch the episode closely, as any prolonged disruption could tighten global inventories and support higher spot prices. Hedge funds with crude exposure may adjust hedges, while downstream refiners could benefit from lower input costs if the Hormuz risk eases. The market now balances technical correction against geopolitical supply uncertainty.