Saudi Pipeline Shutdown Drives Oil Price Surge Amid Strait of Hormuz Fears

Oil prices surged on Monday as concerns over energy supply risks intensified following the shutdown of a major Saudi pipeline and the postponement of a planned meeting between Iran and Gulf states.

The West Texas Intermediate (WTI) futures contract rose by nearly 3% to trade above $99.50, with analysts pointing to the recent attacks on the pipeline and the Strait of Hormuz as key drivers of the rally.

The Saudi Ministry of Energy reported that the pipeline had been shut down as a precautionary measure after being attacked, while Iran's Foreign Ministry spokesperson stated that Saudi Arabia insisted on postponing the meeting in Oman.