Oil tops $100 amid tanker attacks in Strait of Hormuz
What's the story
Crude oil prices have surged in response to reports of fresh attacks on tankers in the Strait of Hormuz. Brent crude oil futures for January were trading at $100.04 a barrel, up 1.78%, while West Texas Intermediate (WTI) December futures were priced at $91.69 per barrel, reflecting a rise of 1.29%. In India, November crude oil futures traded at ₹8,665 on Multi Commodity Exchange (MCX), up by 1.23% from the previous close of ₹8,560 during early trading hours today.
Attack details
Several tanker attacks reported in the Gulf
The United Kingdom Maritime Trade Operations (UKMTO) has reported several tanker attacks in the Gulf and Strait of Hormuz since Sunday.
According to Iran's Islamic Revolutionary Guard Corps (IRGC), two oil tankers and a tugboat were set ablaze in separate incidents within the Strait.
The IRGC claimed these vessels tried to take unauthorized routes through this strategic waterway.
Regional tensions
Saudi warns of threats to oil export hub Yanbu
Amid these developments, Saudi Arabia has warned of possible threats to its oil export hub Yanbu. The warning comes as the country is under attack from Yemen's Houthi forces.
Iranian Foreign Minister Abbas Araqchi reportedly held separate phone calls with his counterparts in Saudi Arabia and Qatar to discuss recent diplomatic efforts aimed at stabilizing the region.
Market impact
US-Israel conflict with Iran affects global oil prices
The ongoing US-Israel conflict with Iran has severely impacted global oil prices.
On Thursday, US President Donald Trump said that Iran cannot act on its nuclear activities without Washington's approval.
He is considering whether to authorize more military action against Tehran or accept the current situation.