Saudi Strikes Send Oil Prices Soaring Over $3 Per Barrel
Oil prices surged over $3 per barrel at the market open on Monday after new strikes on Saudi Arabia and ships in the Gulf. The Brent crude futures rose by $3.62, or 3.46 percent, to $108.23 per barrel as of 2214 GMT on Sunday.
The WTI futures also saw a significant increase, rising by $3.15, or 3.15 percent, to $103.20 per barrel. Saudi Arabian state media released video footage showing damage to homes and a mosque in Jazan province from what it called a Houthi attack.
A British maritime security agency reported that a vessel in the Strait of Hormuz was struck by a projectile, causing a fire and forcing the crew to evacuate. The Omani Foreign Minister, Badr Albusaidi, announced that a scheduled meeting between Gulf countries and Iran had been postponed due to the escalating tensions.
Tony Sycamore, an IG market analyst, stated in a note on Sunday that unless talks produce something operational or the East-West pipeline is brought back online quickly, the risk is that crude oil continues to extend its gains towards $119.48, the high of early March.