Oil prices have fallen after US President Donald Trump warned Iran not to block the Strait of Hormuz, which supplies oil to the world market. 'If Iran blocks oil supplies through the Strait of Hormuz, the Americans will strike 20 times harder than they are now,' Trump said on social media.

The price of Asian Brent crude fell 6 percent to $93 on Tuesday morning. Oil prices had reached around $120 a barrel on Monday due to the risk of oil supplies being disrupted by the US and Israel's attacks on Iran. But oil prices fell after Trump signaled that the war would end soon. But Iran's Islamic Revolutionary Guard Corps (IRGC) has rejected talks with Trump, saying it will launch powerful missiles in the ongoing war against the US-Israeli.

Tuesday's drop in oil prices brought some relief to traders, but analysts said the energy market was still  in a state of complete stress . They say that the oil market is volatile and prices could rise again if the conflict escalates . The 'Strait of Hormuz' is a narrow waterway . 20 percent of the total oil consumed in the world energy market is supplied through this route . 

Oil prices are still 20 percent more expensive than before the US and Israel attacked Iran . The G-7, which includes the world's seven largest economies, said on Monday that it was ready to take "necessary measures" to address energy  supply in the global market amid rising oil prices .