Crude oil jumped more than 6% on Thursday to trade above $92 per barrel, extending its rally for a fifth straight session and marking the highest level since early June. The latest surge came as escalating tensions in the Middle East intensified fears of disruptions to global supply.
US President Trump warned that the United States would hold Iran accountable for any future Houthi attacks on commercial vessels in the Red Sea, threatening Tehran and the Yemen-based group with “major military punishment.” He also said he was “considering a massive attack” on Iran. His remarks followed Houthi strikes on two Saudi oil tankers in the Red Sea, which the group claimed were aimed at enforcing a newly declared blockade of Saudi ports.
Oil prices are now up more than 30% from the pre-conflict levels recorded earlier this month. Supply concerns were further exacerbated by Kazakhstan’s decision to halt crude exports through the Caspian Pipeline Consortium terminal after drone attacks, tightening the market outlook even more.