Oil Markets Defy Adversity Amid Saudi, Russia Attacks

Oil markets have maintained stability despite recent attacks in Saudi Arabia and Russia's Moscow oil refinery. On Monday, crude oil prices remained at levels seen before the weekend break, with Brent crude trading between $103-$104 a barrel and West Texas Intermediate (WTI) below $100 a barrel.

The tensions arose over the weekend when Saudi Arabia issued air-raid alerts for Riyadh and warned of potential threats in Red Sea hubs. Explosions were heard near King Khaled Airport in Riyadh, while Houthis continued to attack regions close to the Bab el-Mandeb strait.

In Russia, Ukraine launched a drone attack on the Moscow oil refinery, which has a capacity of 245,000 barrels per day. The refinery is crucial for Russia's energy infrastructure and diesel supplies.

The subdued reaction in oil markets can be attributed to several factors. US President Donald Trump expressed willingness to meet with Iranian President Masoud Pezeshkian during the United Nations General Assembly summit later this week. This comes after Qatar's Prime Minister Sheikh Mohammed bin Abdulrahman Al-Thani confirmed that messages are still being exchanged between parties, with Iran reiterating its conditions for returning to the June Memorandum of Understanding.

Additionally, US Central Command Chief Admiral Brad Cooper revealed that oil and LNG shipments through the Strait of Hormuz have reached a six-month high over the last two weeks. Satellite images also showed Saudi Aramco loading at least seven oil supertankers or 14 million barrels simultaneously across its Ras Tanura and Ju'aymah terminals.