Houthi Attacks Send Oil Prices Soaring Amid Global Energy Supply Concerns

Oil prices surged more than 3% on Thursday after Yemen's Houthi rebels claimed to have launched missile and drone strikes against targets in Saudi Arabia, including those operated by state oil giant Saudi Aramco. The attacks raised concerns about potential disruptions to global energy supplies.

The Brent crude futures settled at around $106.60 a barrel, up 3.4%, while US West Texas Intermediate climbed 2.7% to $94.61, according to Reuters. The Houthis said they hit a 'sensitive target' in Riyadh and Aramco facilities in Yanbu, a major oil hub on the Red Sea.

Saudi authorities stated that air defenses intercepted six ballistic missiles fired towards the city of Taif and the area of Yanbu, but there were no immediate reports of significant damage or casualties. The strikes come as oil markets remain anxious about potential disruptions due to the wider conflict involving Iran and uncertainty over the Strait of Hormuz.

Tim Waterer, chief analyst at KCM Trade, noted that 'diplomatic hopes are essentially helping oil prices weather the latest military strikes in the Middle East.'