Brent Crude Surges Past $100 as Houthi Tanker Attacks Disrupt Global Oil Supply
US energy shares rose on Thursday as Brent crude prices reached a five-month high of $100.37 per barrel, following attacks on Saudi oil tankers in the Bab el-Mandeb strait.
The Houthi forces in Yemen have targeted vessels carrying Saudi oil, raising concerns over global oil supply disruptions and potential price hikes.
PVM Energy analyst John Evans warned that rerouting oil shipments could more than double voyage times from the Saudi port of Yanbu to China, from over 20 days to more than 50 days.
This would further tighten crude markets and support prices, according to UBS analyst Giovanni Staunovo. As a result, shares of energy companies such as Exxon Mobil, Chevron, Diamondback Energy, Devon Energy, ConocoPhillips, Occidental Petroleum, Valero Energy, Marathon Petroleum, and Phillips 66 rose between 1.1% and 2.7%.