Brent reaches $115 amid Middle East tensions
By the AFREEQUE newsroom, based on L’essentiel
Brent reached $115 a barrel for the first time since early May before stabilising at $114.71, while WTI exceeded $101. The rise is linked to Houthi attacks in Saudi Arabia and fears of a fresh escalation between Washington and Tehran, reports L’essentiel.
Brent crude for December delivery reached $115 a barrel on Friday 23 October, its highest level since early May, as prices rose amid concerns over repeated attacks by Yemen’s Houthis in Saudi Arabia and the risk of a fresh escalation between Washington and Tehran, Agence France-Presse reports. At around 1.20pm, it was up 1.36% at $114.71. US West Texas Intermediate rose 1.64% to $101.10.
ING analysts believe the prospect of further US strikes against Iran and the deployment of a second aircraft carrier to the region are jeopardising de-escalation and the normalisation of oil flows and prices after the US midterm elections, scheduled for 3 November. Donald Trump accused Iran on Thursday of seeking to drive up oil prices before the vote, despite having promised to reduce energy costs.
The latest increase follows several market movements linked to regional tensions. Brent had exceeded $110 on 21 October, then reached $110.11 on 22 October after attacks in Saudi Arabia. It was still close to $113 on Friday after further Houthi attacks, according to the latest movements in Brent.
