Oil Prices Soar After Saudi Arabia Strikes Spark New Tensions
Oil prices surged on Monday after new attacks on Saudi Arabia and ships in the Gulf over the weekend. The Brent crude futures rose $3.62, or 3.46%, to $108.23 per barrel, while WTI futures increased by $3.15, or 3.15%, to $103.20 per barrel.
The strikes targeted Saudi Arabia's southern Jazan province and a nearby Saudi military base. The Houthi rebels claimed responsibility for the attacks. A vessel in the Strait of Hormuz was also hit, causing a fire and forcing the crew to evacuate.
Omani Foreign Minister Badr Albusaidi announced that a scheduled meeting between Gulf countries and Iran to discuss the Strait of Hormuz had been postponed. Market analyst Tony Sycamore warned that unless this week's talks produce something operational or the East-West pipeline is brought back online quickly, crude oil prices may continue to rise towards $119.48.