Oil rises over 1% after Saudi Arabian refinery attack reignites supply risk

Oil advanced by more than 1% on Wednesday after Yemen’s Houthis claimed a missile strike on Saudi Arabia’s largest refinery, reviving concerns about supply. Brent rose $1.59, or 1.4%, to $115.47 a barrel, while US West Texas Intermediate added $1.43, or 1.4%, to $101.33 as of 0435 GMT. Saudi officials had not confirmed the reported attack on the 550,000-barrel-per-day facility.

Prices rebounded after losing nearly $2 on Tuesday. ING strategists said markets were weighing the risk of renewed escalation, while the possibility of no further strikes on Iran after elections could reduce the risk premium. US crude inventories reportedly fell 2.03 million barrels in the week to October 23, although analysts surveyed by Reuters had expected a 15,000-barrel increase; traders awaited official figures.

OPEC+ producers are expected to keep December output targets unchanged at a meeting on Sunday, according to people familiar with the matter. Separately, traders said Russian crude exports from Baltic and Black Sea ports could decline next month as local refineries raise diesel production.