Oil prices experienced a decline in early Asian trading on Tuesday, with Brent crude falling $1.86 (1.87%) to $97.50 and West Texas Intermediate (WTI) dropping $2.25 (2.27%) to $96.83. This drop follows a rise in prices during the previous session, attributed to the US military's blockade of Iran's ports. The easing of supply concerns is linked to potential dialogue between the US and Iran, despite the recent collapse of peace talks in Islamabad. Tim Waterer, chief market analyst at KCM Trade, noted that the prospect of negotiations has reduced the urgency for price hikes. Analysts from ANZ estimate that approximately 10 million barrels per day of crude supply have been removed from the market, with a prolonged blockade potentially affecting an additional 3 to 4 million barrels per day. The International Energy Agency has cautioned against hoarding energy supplies, while OPEC has adjusted its global demand forecast downwards by 500,000 barrels per day.