BUSINESS

Yemen attacks on tankers send Brent crude above $100

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United States markets reeled on Thursday after Brent crude oil briefly traded above $100 a barrel, its highest level in two months, following a fresh escalation of conflict in the Middle East. The price of Brent, the international benchmark, jumped 6.1% to $99.78, while U.S. West Texas Intermediate futures rose 4.7% to $90.95. The spike in global energy prices, driven by concerns over supply disruptions, triggered a sharp sell-off across Wall Street, with technology stocks leading declines as investors reacted to the sudden increase in input costs and heightened geopolitical risk. Yemen-based Houthi militias claimed responsibility for coordinated attacks on two Saudi Arabian oil tankers, the Encelia and the Layla, in the Red Sea on Thursday. The group said it used a combination of ballistic missiles, cruise missiles and unmanned aerial drones against the vessels and accused the tankers’ crews of violating a naval blockade it is attempting to impose in the region. Early reports indicated that at least one of the ships was left ablaze in the key waterway, adding to supply concerns already elevated by a separate conflict between the United States and Iran that has constrained traffic through the Strait of Hormuz, a critical chokepoint for global energy flows.

Prepared by Christopher Adams and reviewed by editorial team.

Timeline of Events

Five months ago Iran blocked Strait of Hormuz
A few weeks ago Brent dipped below $72
Earlier this week tensions escalated in region
Thursday Houthi forces strike Saudi oil tankers
Thursday at least one tanker reportedly ablaze
Thursday Brent crude briefly tops $100 intraday
Thursday WTI futures climb near $91
Today markets assess extended supply disruption risks

Why This Matters to You

Your wallet may feel this. Rising oil prices often mean higher gas prices. It can also increase costs for goods and services. This is due to higher transportation costs. Check your budget and consider cutting back on non-essential spending.

The Bottom Line

Global conflicts can impact your daily life, even if they seem far away. This situation shows how a conflict in the Middle East can affect oil prices here. Keep an eye on the news for updates. Worth forwarding if you know someone who drives a lot.