Brent crude oil crosses $115 after Houthis claim strike on Saudi refinery

Brent crude oil crossed $115 a barrel on Wednesday, October 28, after Yemen’s Iran-aligned Houthi group claimed a missile strike on a Saudi refinery. At around 9:20 AM, Brent rose $1.56, or 1.37%, to $115.49 a barrel, while Saudi authorities had not confirmed the attack. The rise followed a $2 fall in oil prices on Tuesday after temporary optimism around Middle East peace talks.

Houthis claim strike on a 550,000-barrel-a-day Saudi facility

Yemen’s Iran-aligned Houthi group claimed responsibility for a missile strike on Saudi Arabia’s largest oil refinery. The group said the facility targeted in the claim had a daily processing capacity of 550,000 barrels.

Saudi authorities had not confirmed the attack when the price report was published on Wednesday, October 28.

Brent rose 1.37% and WTI gained 1.51% at around 9:20 AM

Brent crude rose $1.56, or 1.37%, to $115.49 a barrel at around 9:20 AM on Wednesday, October 28.

U.S. West Texas Intermediate futures rose $1.50, or 1.51%, to $101.41 at around 9:20 AM.

Tuesday’s $2 fall came before the latest oil-price rise

Oil prices fell $2 on Tuesday after temporary optimism around peace talks in the Middle East.

A Reuters poll covered eight analysts and indicated that United States crude stockpiles increased by about 15,000 barrels in the week ended October 23.

Traders told Reuters that crude shipments from Russia’s Baltic and Black Sea ports were projected to decrease the following month as domestic refiners increased diesel production under a recent agreement with Washington.

Oil prices remain below the $126 level recorded earlier in the conflict

The latest prices remained below the $126-per-barrel level recorded earlier in the Middle East conflict.

The Middle East crisis had entered its eighth month.

OPEC+ core members face a Sunday output-target decision

Three people with knowledge of the matter told Reuters that core OPEC+ members were expected to keep their December oil output targets unchanged at Sunday’s meeting.

Reuters identified the seven core members as Saudi Arabia, Russia, Iraq, Kuwait, Algeria, Kazakhstan and Oman.

Reuters also reported that output in most of those seven members was already below their respective production targets.