Energy markets face a supply crunch as Saudi infrastructure damage and regional militia activity force production halts, pushing physical crude prices toward $130 per barrel.
WTI crude surges above $104.50 as Middle East supply disruptions intensify with Saudi pipeline attacks and Strait of Hormuz tensions.
Brent crude jumps over $108.50 as Saudi infrastructure damage and Red Sea conflict threaten oil flows, pushing physical prices above $130.
Oil prices rallied on Tuesday as escalating conflict in the Middle East threatens critical energy infrastructure. Brent crude climbed above $108.50 and WTI surpassed $104.50 following attacks on Saudi pipelines and rising tensions in the Red Sea and Strait of Hormuz.
Prices are surging due to targeted attacks on Saudi energy infrastructure and threats of blockades in the Bab el-Mandeb Strait, which create physical supply bottlenecks that futures markets are struggling to price in.