Middle East Attacks Drive Oil Prices Above $100 per Barrel
Oil prices surged this week, ending on track to rise by over 8% from last Friday's close. Brent crude futures for November delivery traded at $104.09 per barrel, while US benchmark West Texas Intermediate (WTI) crude futures for October delivery traded at $99.20 per barrel.
The increase was driven by concerns over extended supply disruptions following attacks on tankers and energy facilities in the Middle East. Tensions between the US and Iran heightened worries about oil shipments through the Strait of Hormuz, with prices drawing support from a decision by seven OPEC+ countries to maintain their October production targets.
Supply concerns deepened after Saudi Arabia's Energy Ministry reported attacks on energy facilities Tuesday in the country's south that caused fires in some areas. Iranian officials issued fresh warnings this week, further heightening tensions in the region.