Oil Prices Soar as Houthi Strikes and Iranian Attacks Disrupt Global Supply

Oil prices surged on Monday, rising more than 2% after Houthi strikes in Saudi Arabia and Iranian attacks in the Gulf. The Brent crude futures price jumped $2.90 to $107.51 per barrel, while WTI futures rose $2.27 to $102.32 per barrel.

The latest disruptions follow a drone strike that shut down a key East-West oil pipeline in Saudi Arabia on Friday. The pipeline, which helps re-route exports avoiding the Strait of Hormuz, threatens up to 4% of global oil supply.

Iran-aligned Houthis have also tightened their control over the Bab el-Mandeb Strait, another key oil transit lane shipping 4-5% of global supply in recent months. The loss of this route could further exacerbate supply concerns and drive prices higher.