Doha: Crude oil prices fell around 7 percent on Monday, after Iran said it had launched a missile attack on a US base in Qatar. Investors appeared to take the retaliatory action as being limited, following days of uncertainty over whether Tehran would close the Strait of Hormuz. US President Donald Trump later said that Iran had given the US advance notice of the attack. Earlier, Washington also called on China to pressure Tehran not to close the vital waterway.

According to France24.com, the missile attack and subsequent market reactions highlight the ongoing geopolitical tensions in the region. The Strait of Hormuz, a critical chokepoint for global oil supplies, has been a focal point of concern for global markets, given its role in the transportation of a significant portion of the world's petroleum. The US administration's outreach to China underscores the international dimensions of the crisis, seeking to leverage Beijing's influence over Tehran to maintain open passage in the strait.

Investors, meanwhile, have reacted to the developments with caution. The sharp drop in oil prices reflects a tentative confidence that the situation may not escalate further into a broader conflict that could disrupt oil supplies. However, market analysts remain vigilant, as the situation in the Middle East continues to evolve and any changes could have significant implications for global energy markets.

The recent events also bring into focus the broader US-Iran relations and the strategic calculations being made by both sides. As the international community watches closely, the potential for further diplomatic engagements or escalations remains on the horizon.