Brent Crude Nears $100 as Middle East Strikes Stoke Supply Fears
Brent crude climbed to $99.33 a barrel and US West Texas Intermediate reached $94.34 on Wednesday as renewed Middle East strikes accelerated global supply disruption fears. Global energy markets and commodity traders priced in mounting risk premiums as US-Iran clashes and Houthi attacks on Saudi infrastructure drove prices higher for a fourth consecutive session.
Crude futures jump a quarter since August amid escalating regional conflict
Brent crude futures have surged by a quarter since early August as hopes for a permanent resolution faded and fighting flared across key shipping lanes and energy facilities. The conflict intensified after Iranian-backed Houthis in Yemen launched operations against several Saudi cities, while US forces struck multiple Iranian oil tankers and Iran targeted a US base in Jordan.
Brent crude futures rose 1.4 per cent to $99.33 a barrel by 0212 GMT, while US West Texas Intermediate traded at $94.34 a barrel, marking an identical 1.4 per cent gain. ING analysts noted that recent developments reinforced the view that peace talks remain distant and markets will continue pricing in a sizeable risk premium. OCBC analysts added that the destruction of five Iranian tankers and attacks on Saudi energy facilities heightened fears of a prolonged supply disruption, complicating efforts to keep crude flowing through the Strait of Hormuz.
The latest market surge follows months of persistent volatility driven by regional infrastructure strikes and heightened geopolitical tensions across the Middle East.
