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Oil prices declined by approximately 1% during Thursday's trading session, despite ongoing concerns over the closure of the Bab el-Mandeb Strait and escalating tensions between the United States and Iran. Iran has instructed the Houthi movement in Yemen to prepare for the possibility of closing the oil export route through the Red Sea if the United States targets Iranian infrastructure, potentially threatening around 7% of the world's oil production. Although prices have decreased, the escalation of the conflict raises the likelihood of disrupting key oil export routes, which could lead to higher shipping costs and increased pressure on the global energy market.
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