Oil rises as concerns over attacks on Saudi Arabia eclipse supply recovery
Oil prices rose as geopolitical tensions in the Middle East, specifically Houthi attacks on Saudi facilities, overshadowed signs of supply recovery. Traders remain concerned about potential disruptions to crude flows through the Strait of Hormuz.
Why it matters
Fluctuations in oil prices due to regional conflict have significant implications for global inflation, energy costs, and international market stability.
Oil rose Wednesday as attacks by Yemen's Iran-backed Houthis on Saudi Arabia raised concerns over crude flows from the Middle East even as supplies have been recovering.
Futures for international benchmark Brent crude for December delivery gained 83 cents to $101.41 a barrel as of 8:22 a.m. ET. U.S. West Texas Intermediate futures for November were up 38 cents at $89.82 per barrel.
Brent Oil pumped through the East-West Pipeline had reached 5.8 million barrels as of Tuesday morning, according to Saudi Energy Minister Prince Abdulaziz bin Salman.
However, concerns that there may be further supply disruptions in the Middle East weighed on sentiment. The Saudi aviation authority reportedly said Tuesday that the country's airports in Jazan and Najran were targeted in two attacks, amid growing hostilities between Yemen's Iran-backed Houthis and the kingdom.
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