Brent crude holds near five-month high on Middle East tension
Oil prices advanced, with Brent hovering around a five-month high as traders priced in a geopolitical risk premium from Houthi attacks on Saudi infrastructure.
TL;DR
- Brent crude futures neared a five-month high, trading around $110 a barrel.
- Traders are incorporating a geopolitical risk premium due to Houthi attacks on Saudi infrastructure and Gulf vessels.
- Houthi forces claimed responsibility for attacks on Saudi energy sites, airports, and military targets.
- A separate Houthi attack in Yemen resulted in numerous casualties.
- US crude oil stockpiles are anticipated to have decreased.
- Discussions are ongoing regarding the potential waiver of US sanctions on Russian energy purchases.