Brent Oil Prices Surge Above $100 as Middle East Tensions Rise
Brent oil prices continued to rise on Friday, hovering above $100 per barrel as concerns about disrupted energy flows in the Red Sea and fears of further escalation in the US-Israeli war on Iran drove up prices.
The potential supply disruptions facing the market are larger than at any time during the war, according to ING analysts. Not only have oil flows through the Strait of Hormuz essentially dried up, but there are clear risks to Saudi oil flows from the Red Sea.
The number of tankers crossing through the Strait of Hormuz fell to just one on Thursday, the lowest since May 7, according to ship-tracking data from Kpler. The Bab el-Mandeb shipping route controls access from the Red Sea to the Indian Ocean and is the second-most-important oil channel after the Strait of Hormuz.
US President Donald Trump vowed to 'hold Iran responsible' for any further attacks.