Oil prices surged on Thursday, October 22, 2026, following a drone strike on a Saudi Aramco oilfield, which reignited concerns about supply disruptions in the West Asia region. Brent crude climbed to around $110.09 a barrel during early Asian trade, while the US West Texas Intermediate (WTI) hovered near $98. The attack on Saudi Aramco's Shaybah field, which resulted in two fatalities, did not disrupt operations but unsettled traders.
The recent rally extends Brent's dramatic 80% surge this year, driven by the ongoing US-Iran war, which has disrupted crude flows from the Arabian Gulf. Despite crude shipments recovering to near pre-war levels, refined oil products remain constrained due to increased attacks on shipping in the Strait of Hormuz and Ukrainian strikes on Russian refineries.
Governments are tapping into stockpiles to alleviate market pressure. US President Donald Trump is pushing measures to lower prices ahead of the midterms, including a diesel deal with Moscow. Russia's Deputy Prime Minister Alexander Novak announced that a tanker loaded with Russian diesel would depart for the US on Thursday, carrying about 300,000 barrels.
Domestic data from the US provided some relief, with distillate inventories rising by nearly 2 million barrels, easing pressure on diesel and heating oil markets. Meanwhile, the New York Times reported that the US and Israel are planning fresh strikes against Iran after next month's American midterm elections.