[International Oil Prices] Surge amid Supply Concerns...Brent Crude Hits $110 Intraday

[Financial News]  

International oil prices jumped by at least 3.5% on the 16th (local time).
Supply disruption concerns mounted as Iran's attacks escalated in the Strait of Hormuz, Yemen's Houthi rebels continued missile attacks on Saudi Arabia along the Red Sea detour route, and Ukraine vowed to continue attacking Russian oil refineries.
According to CNBC, December Brent crude, a global benchmark, surged 3.7% from the previous session to close at $109.86 a barrel. It climbed to $110 intraday.
November West Texas Intermediate (WTI), the U.S. benchmark, surged 3.5% to close at $101.41 a barrel.
WTI gained more than 10% over the week, while Brent crude also rose nearly 5% over the same period.
The pro-Iran Houthi rebels, who control the Bab el-Mandeb Strait, a gateway linking the Red Sea and the Indian Ocean, continued their attacks on Saudi Arabia that day.
Saudi Arabia intercepted several missiles launched from the Red Sea. One of them was headed for Yanbu Port, where an oil export terminal is located. It also shot down three drones in the capital, Riyadh, and in the southern region.
The Houthi rebels' continued attacks are also disrupting operations at oil facilities run by Saudi Aramco, Saudi Arabia's state-owned oil company.
At least nine tankers and cargo ships have been attacked in the Strait of Hormuz since the 11th. On the 14th, U.S. Central Command said Iran had sunk the Singapore-flagged container ship GFS Pride.
According to the UN's International Maritime Organization (IMO), attacks on ships this week left two crew members missing and three injured.
As Iran's attacks on ships intensified, crude oil exports through the Strait of Hormuz—which had recovered last month to prewar levels—began declining again. According to Kpler, oil shipments through the Strait fell to 9.4 million barrels a day in the week through the 14th, or 70% of the prewar average.
In Eastern Europe, U.S. President Donald Trump's “energy truce” is proving ineffective.
Ukraine is preparing to resume attacks on Russian energy facilities, saying Russia attacked Ukrainian energy infrastructure a day after President Trump made the announcement.
In an interview with the Financial Times (FT) published on the 15th, Ukrainian President Volodymyr Zelenskyy said he would resume attacks on Russian oil refineries.

[email protected] Song Gyeong-jae Reporter