Oil Prices Soar on Middle East Conflict Escalation

Oil prices surged to multi-week highs on Tuesday after attacks by Iran-backed Houthis on Saudi energy facilities and Tehran's threat of 'economic warfare' against the United States.

The Brent crude futures rose $1.39, or 1.43%, to $98.39 a barrel at 0956 GMT, while U.S. West Texas Intermediate crude increased by $2.25, or 2.46%, to $93.73 a barrel.

Tim Waterer, chief market analyst at KCM Trade, attributed the price rise to both physical tightness and a geopolitical risk premium, with the latter doing 'a lot of the heavy lifting.'

The attacks on Saudi energy facilities halted operations at some energy facilities in the country, which is the world's top oil exporter.