Saudi Strikes and Strait of Hormuz Attack Send Oil Prices Soaring
Oil prices surged more than 2% on Monday after fresh strikes in Saudi Arabia and an attack on a vessel in the Strait of Hormuz heightened supply concerns. Brent crude futures rose $2.90, or 2.77%, to $107.51 a barrel as of 2313 GMT, while West Texas Intermediate (WTI) futures rose $2.27, or 2.27%, to $102.32 a barrel.
The attacks on Saudi Arabia were carried out by the Houthi rebels, who also claimed responsibility for striking a Saudi military base in a neighboring province. The British maritime security agency UKMTO reported that a vessel in the Strait of Hormuz was struck by a projectile, causing a fire and forcing the crew to be evacuated.
The disruptions have added to concerns about supply risks from Saudi Arabia, the world's largest oil exporter. Its East-West oil pipeline was shut down on Friday after a drone strike originated in Iraq, threatening up to 4% of global oil supply.