Oil Prices Rise as Attacks on Saudi Arabia and Middle East Tankers Renew Global Supply Concerns

According to Reuters, Brent crude futures settled up $1.93, or 1.8%, at $106.65 a barrel, the highest since September 15, while US West Texas Intermediate crude settled at $93.74 a barrel, rising $1.89, or 2%.[1]Reuters reports that the Iran-aligned Houthis claimed responsibility for a Saturday strike on Riyadh's international airport that killed 13 people and wounded more than 300[1], and that further attacks took place on Sunday.The United Kingdom Maritime Trade Operations reported that a tanker was struck by a drone in the vicinity of Oman's Sohar, while another was damaged transiting Hormuz[2], Reuters says. OilPrice.com reports that the tanker attacks threaten a recovery in Gulf oil exports, which reached 81% of prewar levels in September.[3]SEB commodities analyst Bjarne Schieldrop told Reuters that "the sense of some kind of normality of exports from the Strait of Hormuz was shattered last week."[4]Analyst Louis Navellier said in a note quoted by Reuters that "right now, Saudi Arabia's refineries are operating, but five were temporarily closed"[1] after a pipeline to the Red Sea was shut following missile attacks.According to Reuters, Goldman Sachs raised its Brent price forecast for December to $90 a barrel from $85, estimating a risk premium of just over $20 a barrel.[4]Morocco World News reports that Trump said Russia would supply more than 300,000 metric tons of diesel to US and international markets, and announced an energy ceasefire between Russia and Ukraine, although Ukraine subsequently accused Russia of violating it.[5]