Oil Prices Soar on Houthi Strikes and Strait of Hormuz Attacks
Oil prices surged on Monday after a series of strikes in Saudi Arabia and the Strait of Hormuz raised concerns about supply disruptions. The Brent crude futures rose $2.90, or 2.77%, to $107.51 per barrel, while WTI futures increased by $2.27, or 2.27%, to $102.32 per barrel.
The incidents included a Houthi attack on Saudi Arabia's southern Jazan province and an Iranian attack on ships in the Gulf. A vessel in the Strait of Hormuz was also struck by a projectile, causing a fire and forcing the crew to evacuate.
The East-West oil pipeline in Saudi Arabia, which helps re-route exports avoiding the Strait of Hormuz, was shut down due to a drone strike that originated in Iraq. This loss threatens up to 4% of global oil supply.
Omani Foreign Minister Badr Albusaidi announced on Sunday that a scheduled meeting between Gulf countries and Iran to discuss the Strait of Hormuz had been postponed.