(RTTNews) – Oil prices were sharply higher on Tuesday, with Brent crude futures surging toward $100 a barrel on growing risks of a prolonged conflict in the Middle East.
Brent crude prices were up nearly 2 percent at $98.97 a barrel, hitting a six-week high after Iran threatened to retaliate against any new U.S. attacks on its assets and Saudi-led coalition forces vowed a resolute response to a wave of attacks from Houthi rebels. WTI crude futures were up 3.2 percent at $94.39 a barrel.
Saudi Arabia’s Jazan refinery was reportedly hit again Monday in what is likely to be another Houthi attack on one of the Red Sea’s largest oil processing plants, but the damage was limited.
Describing the Houthi attacks against Saudi Arabia as a “dangerous escalation”, the Saudi-led coalition spokesperson Turki AI-Maliki warned that measures will be taken to counter further threats.
Meanwhile, Iranian Parliament Speaker Mohammad Baqer Qalibaf has warned the U.S. that any new U.S. attacks on Iran’s oil and gas assets will draw a reciprocal response, stressing that energy infrastructure across the Persian Gulf, including U.S. oil and gas facilities, are vulnerable.
Separately, Mohsen Rezaei, a senior Iranian security official, has warned that if the U.S. continued to wage “economic warfare” against Iran, it will be met by a maritime exclusion zone across the Persian Gulf to the blockade perimeter.
Traders also watched for details of an Iranian deal with Oman to manage shipping through the Strait of Hormuz.
www.nasdaq.com