Saudi Loadings Pause Sends Brent Crude Price Soaring

The benchmark Brent crude price surged on Tuesday after news of a pause in loadings at Saudi Arabia's main Red Sea terminal, Yanbu.

The terminal was loading around four million barrels per day before the shutdown, equivalent to about four percent of global oil supply.

The suspension is temporary due to recent attacks on the Saudi Aramco East-West Pipeline, which has halted cross-country oil movement until repairs can be completed. Full flow may not be restored for three to five weeks.

However, markets are optimistic that Aramco can increase Gulf exports enough to offset the loss of its backup pipeline.