Oil prices rallied again today, hitting 7-year highs as both contracts touched highs not seen since 2014. Geopolitical tensions are on the rise as Iran back Houthi rebels attacked the UAE. “The damage to the UAE oil facilities in Abu Dhabi is not significant in itself, but it raises the question of even more supply disruptions in the region in 2022,” said Rystad Energy’s senior oil markets analyst Louise Dickson. “The attack raises the geopolitical risk in the region and may signal the Iran-U.S. nuclear deal is off the table for the foreseeable future, meaning Iranian oil barrels are off the market, boosting demand for similar grade crude originating elsewhere,” Dickson added. Meanwhile Russia has continued to build up a troop presence on the Ukrainian border, and US representatives have been traveling to Kiev to discuss support. WTI traded up $1.61 or 1.92% to close at $85.43. Brent traded up $1.03 or 1.19% to close at $87.51.