Oil prices slipped in early Asian trading amid growing confidence that shipping traffic will resume through the Strait of Hormuz, the narrow waterway handling roughly 20% of global oil shipments. Benchmark WTI crude futures fell 0.7% to $76.05 per barrel as markets reacted to easing supply disruption concerns.

The Strait of Hormuz had been effectively closed to tanker traffic following recent tensions, creating a major bottleneck for Persian Gulf oil exports. This waterway serves as the sole maritime passage connecting the Persian Gulf to the open ocean, making its status critical for regional energy markets.

According to ANZ Research analysts, the US-Iran interim peace deal has taken effect, allowing Iranian authorities to ease restrictions on the strait under agreed conditions. Multiple tankers have reportedly begun moving through the channel as normal flow patterns gradually return.

The price decline reflects market relief that one of the world's most important oil transit routes is reopening. However, the situation remains fragile given ongoing geopolitical tensions in the region, keeping supply risks on traders' radars.