LONDON, October 20, 2026 (DAILYNWZ) — Oil prices climbed on Tuesday, with Brent crude reaching a five-month high as reported attacks on shipping and Saudi energy infrastructure heightened fears of supply disruptions and kept a geopolitical risk premium in the market.
Brent futures rose to $111.75 a barrel, their highest level since May, before easing to $111.20 by 1120 GMT, up $1.65, or 1.5%, on the day.
The November contract for U.S. West Texas Intermediate (WTI), which expires on Tuesday, climbed as high as $110 a barrel, the highest for a nearby contract since April. It was last trading at $109.08, up $5.42, or 5.2%.
Yemen’s Iran-aligned Houthi movement said on Monday it had launched several attacks on Saudi energy, airport and military targets. The sites it named included an Aramco facility in Yanbu, the Shaybah oilfield, King Khalid International Airport in Riyadh and Abha airport.
Saudi authorities had not immediately confirmed the claims, and Reuters could not independently verify them.
“Oil prices remain well-supported … This suggests the market is pricing in a significant risk premium, given the situation’s volatility,” ING analysts said in a note on Tuesday.
They added that the premium could gradually fade if oil and shipping flows continued without disruption, but said there were no signs of that happening yet.
Shipping risks remain a concern. At least 18 vessels were reportedly attacked over a two-week period, ship-tracking firm Kpler said in a note on Monday, a series of incidents that has helped sustain the market’s risk premium.
The regional security picture was further strained by a Houthi attack on a training camp for government security forces in Yemen’s Shabwa province on Monday. The attack killed 58 people and injured more than 200, according to the source report.
The latest incidents have reinforced concerns about the security of energy infrastructure and transport routes in the region, helping keep oil above $100 a barrel.
In the United States, crude oil inventories were expected to have fallen last week, alongside stocks of refined products, a preliminary Reuters poll showed on Monday. The expected drawdown could provide further support to prices, although the immediate market focus remained on the risks posed by attacks in and around the Gulf.