US aircraft carrier USS Abraham Lincoln in the Strait of Hormuz
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Oil prices 'unlikely to fall' due to stock build-ups

With tensions between the West and Iran rising, oil prices have been volatile recently and have climbed by more than 10% this year.

Iranian officials have threatened to shutdown the Strait of Hormuz, the route used to ship most Gulf oil and a fifth of global supplies and sanctions against Iran are due to take effect within a few months.

Shailaja Nair, senior managing editor at energy analysts Platts, downplays the impact from Iran and a warning from the IMF's Christine Lagarde of the risks of rising oil prices.

But she says prices are unlikely to fall in the near-term.

  • 19 Mar 2012