Middle East Tensions Drive Brent Crude Prices Near $100
Brent crude prices are nearing $100 per barrel for the first time since July due to escalating attacks across the Middle East, fueling concerns over disruptions to oil supplies from the region.
The price of Brent crude futures rose 1.3% to $99.22 a barrel by 0614 GMT, while U.S. West Texas Intermediate crude was up 1.2% at $94.13 a barrel.
Hopes for a permanent resolution to the six-month-old war have faded, and fighting has flared again in the region, with Iranian-backed Houthis in Yemen launching strikes on several Saudi cities.
Analysts warn that sustained attacks on Saudi Arabia could complicate efforts to keep crude flowing to global markets, and Priyanka Sachdeva, head of market insights at Phillip Nova, noted that 'bullish momentum is building in crude markets as Brent crude approaches the psychologically important $100-per-barrel mark.'