Oil jumps $2 on escalating Middle East tension

Oil benchmarks climbed on Thursday as fresh Houthi attacks in Saudi Arabia raised fears of a wider conflict and interruptions to crude exports from the region. Business Recorder reported Brent was up $2.82, or 2.59%, at $111.64 a barrel by 0626 GMT, near a five-month high, while US West Texas Intermediate gained $2.24, or 2.31%, to $99.39.

The report cited attacks on a civilian airport in Dammam and a Saudi oil field, as well as growing maritime risks around the Persian Gulf and Strait of Hormuz. US data separately showed crude inventories fell by 3.06 million barrels to 412.5 million, while distillate stocks rose by 1.68 million to 104.3 million, contrary to analysts’ expectations. Washington also offered loans from its emergency heating-oil reserve amid diesel shortages, highlighting how conflict-related supply concerns are affecting energy markets.