Oil prices climbed sharply on Friday, reaching their highest levels in nearly six months as continued Houthi attacks on Saudi Arabia and reports of an oil spill off the United Arab Emirates heightened concerns about further disruptions to Middle Eastern energy supplies. Brent crude futures settled up $3.55, or 3.14%, at $116.72 a barrel, the highest closing price since April 29. U.S. West Texas Intermediate (WTI) crude futures rose $3.80, or 3.8%, to $103.27 a barrel. For the week, Brent gained 6%, while WTI increased 2.3%.<\/p>\n\n\n\n
Supply concerns intensified as Iran-aligned Houthi rebels continued attacks across Saudi Arabia, including against energy infrastructure. Saudi Aramco had previously ordered the evacuation of its headquarters in Dhahran as fighting escalated. Meanwhile, authorities in the United Arab Emirates reported an oil spill affecting beaches near Umm Al Quwain, although the cause and tanker involved had not been identified. October has also become the worst month for attacks on commercial shipping in the Strait of Hormuz and surrounding waterways, further increasing concerns about the security of critical oil transportation routes.<\/p>\n\n\n\n
Efforts to address supply disruptions continued as the U.S. Department of Energy authorized an emergency exchange of up to 400,000 barrels of crude oil from the Strategic Petroleum Reserve (SPR) to help address a disruption affecting Phillips 66’s Lake Charles refinery in Louisiana. Germany also began offering diesel, heating oil and crude oil from its strategic reserves. Meanwhile, the first shipment of Russian diesel bound for the United States since the recent agreement between Washington and Moscow was reported aboard a tanker heading for New York. These developments come as the global energy market continues to deal with supply disruptions, elevated diesel prices and ongoing geopolitical uncertainty.<\/p>\n\n\n\n