On Wednesday, oil prices rose as Brent crude futures for December delivery increased by 0.93% to $101.52 per barrel, while U.S. West Texas Intermediate futures for November rose by 0.81% to $90.16 per barrel. This uptick in prices comes amid fears of further supply disruptions in the Middle East, particularly after the Saudi aviation authority reported attacks on airports in Jazan and Najran.
These incidents are part of escalating tensions between Yemen's Iran-backed Houthis and Saudi Arabia. Additionally, Iran's increased attacks on tankers in the Strait of Hormuz have raised further concerns about oil supply stability.
Naeem Aslam, chief investment officer of Zaye Capital Markets, noted that the oil market is currently balancing improving physical supply against ongoing geopolitical risks.
Samer Hasn, a senior market analyst at XS.com, emphasized that the Houthis' capability to target oil facilities far from their borders keeps the risk of significant crude supply disruptions high, especially if they feel pressured to escalate their actions due to territorial losses