Brent crude oil reaches $116 standard on rising Middle East tensions

Brent crude oil prices rose to finish the week above $116 a barrel on Friday, reaching its highest level since April. Rigzone News, CNBC, and Yahoo Finance all reported that escalating attacks on Saudi Arabia and broader Middle East conflicts raised concerns over potential crude supply disruptions. [1][8][10]

Iran-backed Houthi militants stated that they conducted recent attacks on the Saudi Red Sea port of Yanbu, alongside strikes on an airport and an oil field in the region, Rigzone News reported. According to Rigzone News, West Texas Intermediate crude also rose to close above $103 a barrel, marking a weekly gain of over 6% for the global crude benchmark. [1]

In contrast to rising international benchmark futures, physical crude prices from the Middle East have fallen, Oilprice reported. Shipments from Iraq and Oman experienced price drops relative to Dubai benchmarks as crude continued to exit the Persian Gulf through offshore ship-to-ship transfers in Oman, according to Oilprice. [4]

Senior energy trader Rebecca Babin at CIBC Private Wealth Group stated that fears of weekend escalation were driving price increases despite geopolitical analysts downplaying the likelihood, Rigzone News reported. [1]