Oil prices declined nearly 4% on Tuesday following comments from Energy Secretary Chris Wright indicating that ship traffic through the Strait of Hormuz was increasing significantly.

Speaking at an Atlantic Council event, Wright stated that the amount of oil moving through the strait would "continue to rise" as the U.S. and Iran work to resolve their conflict, which has extended beyond 100 days. The Energy Secretary described traffic through the critical shipping chokepoint as "rising very meaningfully."

The Strait of Hormuz serves as a vital passage for global oil shipments, and any disruption to traffic through the waterway typically affects energy markets worldwide. Wright's comments appeared to ease market concerns about potential supply constraints.

Meanwhile, domestic fuel prices remain elevated compared to last year. The national average gas price stood at approximately $4.16 per gallon on Tuesday, according to AAA data. While this represents a $0.37 decrease from a month earlier, prices remain about $1 higher than the same period last year.

In related energy market developments, Kuwait's oil stocks have reportedly declined as two tankers departed the Gulf region, according to shipping data from Kpler. Separately, record petroleum exports helped reduce the U.S. trade deficit in April, according to recent trade data.