Middle East Tensions Send Oil Prices Soaring Above $100
Oil prices surged more than 2 percent on Monday due to escalating tensions in the Middle East, which have raised concerns about global oil supply.
A drone strike in Iraq shut down a key Saudi oil pipeline on Friday, threatening up to 4 percent of global oil supply. The loss of this pipeline, coupled with recent attacks on Saudi Arabia and Iranian ships in the Gulf, has sent oil prices skyrocketing.
Brent crude futures rose $2.90, or 2.77 percent, to $107.51 per barrel as of 2313 GMT, while WTI futures increased by $2.27, or 2.27 percent, to $102.32 per barrel.
The situation has been further complicated by the Houthis' recent takeover of the strategic island of Perim and their efforts to control the Bab Al-Mandab Strait, which ships around 4-5 percent of global supply each month.