Oil benchmarks surged as attacks on Saudi infrastructure forced a key pipeline offline, threatening to remove 4% of global supply from the market amid heightened regional conflict.
Brent and WTI crude futures climbed nearly 2% on Tuesday following fresh attacks on Saudi Arabian energy infrastructure. The outage of the critical East-West pipeline, which reroutes 4 million barrels per day, has intensified market concerns over potential supply shortages and escalating geopolitical tensions in the Middle East.
Prices are rallying due to fears that attacks on Saudi infrastructure, specifically the East-West pipeline, will significantly reduce global oil exports and exacerbate supply chain instability.