Oil Prices Slip Below $105 as Saudi Pipeline Repair Efforts Progress
Oil prices declined by around 1% on Thursday, settling above $100 per barrel. The drop was attributed to investors weighing the disruption caused by strikes between Saudi Arabia and Yemen's Houthis against reports that additional Saudi crude barrels could reach global markets.
The conflict in the Middle East has been a major concern for the energy supply, with Brent crude futures closing at $104.82 per barrel, down 0.95% from Wednesday's close. US West Texas Intermediate futures fell 0.5%, settling at $101.91 per barrel.
Saudi Arabia and Yemen's Houthis exchanged strikes across their border, threatening to worsen the global energy supply shortage caused by the US and Israel's attack on Iran in February. The East-West pipeline, which supplies Yanbu, was halted last week following drone attacks, with a prolonged closure potentially cutting off 4% of global oil supply.