Oil Prices Soar on Houthi Strikes and Iranian Attacks
Oil prices jumped more than 2% on Monday following new Houthi strikes on Saudi Arabia and Iranian attacks on ships in the Gulf, exacerbating supply concerns after a key Saudi oil pipeline was closed.
The closure of the East-West oil pipeline, which helps re-route Saudi exports around the Strait of Hormuz, threatens up to 4% of global oil supply. 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.
Saudi Arabian state media released video footage showing damage to homes and a mosque from what it said was a Houthi attack on the country's southern Jazan province. The Houthis also claimed to have struck a Saudi military base in a neighboring province, while a vessel in the Strait of Hormuz was hit by a projectile, causing a fire and forcing the crew to evacuate.
Iran reported that one person was killed and four crew members were wounded aboard an Iranian commercial vessel struck off its coast. The disruptions have pushed oil prices up 8% for the week, with Brent crude surging above $100 per barrel for the first time since July.