Brent Crude Hits Five-Month High on Gulf Attacks

Yemen’s Iran-aligned Houthis said they launched attacks on Saudi energy, airport and military sites, including an Aramco facility in Yanbu, the Shaybah oilfield and airports in Riyadh and Abha. Saudi authorities had not confirmed the claims, and Reuters could not independently verify them, but the market reaction showed traders are treating the threat as real even without immediate damage reports.

At least 18 vessels were reportedly attacked over two weeks, according to shiptracker Kpler, reinforcing concern that tankers and shipping routes remain vulnerable. ING analysts said oil prices were still “well-supported” because the market is pricing in a significant risk premium, and that the premium would only erode if flows continue uninterrupted — something traders do not yet see evidence of.

The price spike matters beyond crude itself. Higher oil feeds directly into inflation, transport costs and corporate margins, especially for airlines, chemicals and other fuel-intensive industries, while also complicating central bank efforts to cool prices. In the US, a Reuters poll showed analysts expect crude and product inventories to have fallen last week, which would add another layer of support to prices if confirmed.

For investors, the main takeaway is that energy markets are now trading on both supply fundamentals and geopolitical headlines. Oil producers and energy stocks stand to benefit if elevated prices persist, while refiners, importers and consumer sectors face higher input costs. The next test is whether attacks continue and whether shipping disruptions begin to hit physical flows rather than just sentiment.