Oil Prices Soar Amid Houthi Missile Attack on Saudi Arabia
Oil prices rose by around 3% on Thursday to a one-week high after a missile attack by Yemen's Houthi rebels on Saudi Arabia raised concerns about supply disruptions. The Brent futures contract increased by $3.52, or 3.4%, to settle at $106.60 per barrel, while US West Texas Intermediate crude rose by $2.45, or 2.7%, to settle at $94.61.
The attack on Saudi Arabia's southern province of Taif and the Yanbu area on the Red Sea was intercepted by the Saudi-led coalition in Yemen, but it still had a significant impact on oil prices. The US and Iran are engaged in peace talks in New York, with negotiators exploring a phased path out of their conflict.
The Strait of Hormuz has become a central bargaining chip in these efforts, with Iran seeking relief from the US economic blockade choking its economy and Washington wanting free passage for ships on the global oil supply route. Diesel prices have hit record highs in recent weeks due to supply disruptions, and high-level contacts continue between the European Union and the US.