Oil prices rise as Gulf tensions escalate
- Brent crude rose 0.47% to $110.07 per barrel on Tuesday, October 20, 2026, remaining near a five-month high as geopolitical tensions supported prices.
- Houthi claims of attacks on Saudi energy infrastructure and reports of at least 18 vessel attacks over two weeks raised concerns about Middle Eastern oil shipments.
- Traders are monitoring potential supply disruptions, falling U.S. oil inventories and Russia-related sanctions developments, with analysts warning that the geopolitical risk premium could diminish if exports remain unaffected.
Brent crude futures rose 0.47% to $110.07 per barrel on October 20, 2026, as Middle Eastern security risks supported oil prices.
Brent had reached $110.70 in the previous session, while U.S. WTI November futures advanced 0.36% to $104.03 per barrel.
“Oil prices remain well-supported,” ING analysts said, citing a substantial geopolitical risk premium amid uncertainty over regional energy supplies.
The Houthis claimed attacks on Saudi oil facilities and airports, while shipping analysts reported at least 18 vessel attacks over two weeks.
Analysts expect oil prices to remain sensitive to supply disruptions, although the risk premium could decline if shipments continue without interruption.
December WTI futures gained 0.26% to $98.80, while preliminary U.S. industry expectations pointed to declining crude and refined-product inventories.
Russia's September crude production increased by 65,000 barrels daily to 8.43 million, while uncertainty over U.S. sanctions policy complicated the supply outlook.
