Oil Prices Soar Amid Saudi Arabia Strife
Oil prices jumped more than 2% on Monday after a series of attacks on Saudi Arabia and the Strait of Hormuz. The Brent crude futures rose $2.90, or 2.77%, to $107.51 per barrel as of 2313 GMT, while WTI futures rose $2.27, or 2.27%, to $102.32 per barrel.
The attacks included a Houthi strike on Saudi Arabia's southern Jazan province and an Iranian attack on a commercial vessel in the Gulf. The Houthi rebels claimed they had also struck a Saudi military base in a neighboring province.
Iran said one person was killed and four crew members were wounded aboard its own commercial vessel that was attacked off its coast.
The disruptions have raised concerns about global oil supply, with up to 4% of the world's oil potentially affected by the closure of Saudi Arabia's East-West pipeline. The loss has already led to a surge in oil prices, which rose 8% higher on the week and broke above $100 for the first time since July.
Market analysts are warning that unless there is significant progress in talks between Gulf countries and Iran or the East-West pipeline is quickly brought back online, crude oil prices could continue to rise towards a target of $119.48 seen earlier this year.