Brent reaches a five-month high as Houthi attack claims keep Gulf supply risk in focus
Brent touched $111.05 and WTI $104.94 early Tuesday; Saudi authorities had not confirmed the Houthi claims.
Oil rose again early Tuesday, with Brent reaching $111.05 a barrel, its highest since May, per Reuters. U.S. West Texas Intermediate rose as high as $104.94, the highest since September, and traded around $104.80 at 0810 GMT (4:10 AM ET). Those are intraday quotes, not settlement prices.
Reuters said traders were pricing in a geopolitical risk premium from Houthi attacks on Saudi infrastructure and reports of vessel attacks in the Gulf. Yemen's Iran-aligned Houthis said Monday they launched attacks on Saudi energy, airport and military targets, including an Aramco site in Yanbu and the Shaybah oilfield. Saudi authorities did not immediately confirm the claims, and Reuters could not independently verify them. CNBC also reported that oil rose as the Houthis escalated attacks on Saudi Arabia.
Shiptracker Kpler said at least 18 vessels were reportedly attacked over two weeks, which keeps the risk premium intact, per Reuters. ING analysts said that if flows continue uninhibited, the premium would erode slowly, but there were no signs of that yet.
The U.S. waiver on Russian energy sanctions is still unsettled. Per Reuters, Trump said Saturday he had not announced a final decision, and Secretary of State Marco Rubio said officials wanted more time. See our report on Monday's reversal and the waiver story.
