WTI Oil Price Rockets Above $100 Amid Ongoing Middle East Tensions

The price of WTI oil has pushed back above $100 per barrel due to ongoing supply disruptions in the Middle East. On Monday, September 14, WTI futures climbed more than 3% at the market open before consolidating above the $100 level.

The latest move followed fresh Houthi attacks on Saudi Arabia, reports of a vessel being hit in the Strait of Hormuz, and the temporary shutdown of Saudi Arabia's critical East-West oil pipeline. The situation became even more uncertain after Oman announced that a planned meeting between Iran and Gulf states on the Strait of Hormuz had been postponed.

The postponement reduces the probability of an immediate de-escalation and leaves the oil market focused on physical supply rather than diplomatic progress. Houthi forces have intensified their activities around the Red Sea and Bab el-Mandeb, creating another obstacle for oil transportation.