Houthi Attacks Send Oil Prices Soaring to $98 a Barrel
Oil prices surged to their highest since late July as ongoing Houthi attacks on Middle East energy infrastructure heightened concerns of fresh supply tightness.
The global benchmark, Brent oil, rose by 1% on Tuesday (Sep 8) to settle at around $98 a barrel, just shy of the $100 mark.
The price increase was sparked by reports of explosions at Iran's vital export hub, Kharg Island, which is its main oil export facility.
Saudi Arabia said operations at several energy facilities were halted due to Houthi attacks, while Goldman Sachs analysts noted that markets are increasingly pricing a prolonged Mideast conflict.
Goldman Sachs modestly raised its oil-price estimates on the assumption that shipping disruptions will persist into 2027, with risks to their forecast tilted to the upside.
The Houthis have been targeting Saudi Arabia's oil flows in response to Riyadh's siege of the Yemeni capital, Sana'a.