Oil Prices Soar as Houthi Missile Attack Raises Supply Fears

Oil prices surged by about 3% on Thursday to hit a one-week high after a Houthi missile attack on Saudi Arabia raised concerns over supply disruptions.

The attack saw Saudi Arabia intercept six ballistic missiles, thwarting attacks on the southern province of Taif and Yanbu area on the Red Sea. This incident revived fears of supply disruptions in the region.

US West Texas Intermediate crude rose $2.45 to settle at $94.61 a barrel, while Brent futures increased by $3.52 to settle at $106.60 a barrel. This marked the first rise in days for WTI, which had declined 13% over the prior six sessions.

As tensions between the US and Iran continue, Iranian airlines were barred from neighboring countries including the UAE and Oman due to new US sanctions targeting companies that do business with Iran.