KEY POINTS
- Brent crude rose to $110.10 per barrel, remaining near a five-month high amid Middle East tensions.
- Houthi-claimed attacks on Saudi facilities and reports of attacks on at least 18 vessels heightened supply concerns.
- Traders are also monitoring US oil inventories and uncertainty over Russian energy exports.
Global oil prices remained near a five-month high on Tuesday, October 20, 2026, as attacks claimed by Yemen’s Houthi rebels on Saudi energy infrastructure and reports of assaults on vessels in the Gulf heightened concerns about possible disruptions to global oil supplies.
Brent crude futures rose by 55 cents, or 0.50%, to $110.10 per barrel by 03:19 GMT, after reaching $110.70 in the previous session, its highest level since May 20.
US West Texas Intermediate (WTI) crude futures for November delivery, which were due to expire on Tuesday, gained 0.24% to $103.91 per barrel. The more actively traded December contract increased by 39 cents, or 0.40%, to $98.93.
The gains reflect growing concerns among traders that further attacks on energy infrastructure and shipping routes could threaten supplies from the Middle East.
Yemen’s Iran-aligned Houthi rebels said on Monday that they had carried out several attacks targeting Saudi energy facilities, airports and military installations.
The group listed an Aramco facility in Yanbu, the Shaybah oilfield, King Khalid International Airport in Riyadh and Abha airport among its targets.
Saudi authorities had not immediately confirmed the claims, and Reuters could not independently verify them at the time of the report.
The renewed attacks have increased concerns about the security of critical energy infrastructure in the region, where disruptions can affect oil production, transportation and international trade.
Separately, a Houthi attack on a training camp for government security forces in Yemen’s Shabwa province reportedly killed 58 people and injured more than 200 on Monday, adding to concerns about the deteriorating security situation.
The threat to energy facilities and shipping has helped keep crude prices above $100 per barrel, with traders factoring the possibility of further supply disruptions into market prices.
Attacks on vessels sustain market risk premium
Concerns about shipping security have also supported oil prices. Ship-tracking firm Kpler said in a note on Monday that at least 18 vessels had reportedly been attacked over a two-week period.
The reports have heightened concerns about the safety of maritime routes used to transport oil and other commodities, particularly in and around the Gulf region.
Analysts at ING said oil prices remained well supported because traders were factoring in a significant geopolitical risk premium.
A risk premium is the additional amount buyers are willing to pay because of uncertainty over whether future events could disrupt supply.
The analysts noted that this premium could gradually decline if oil shipments continued without interruption. However, they said there were no clear signs of that happening at the time. Developments in the United States are also influencing market expectations.
A preliminary Reuters poll published on Monday indicated that US crude oil inventories were expected to have fallen in the previous week, alongside stocks of refined petroleum products.
A decline in inventories can support prices because it suggests that supplies are tightening relative to demand. However, the poll reflected expectations ahead of the official inventory figures.
Market participants are monitoring US stockpile data alongside developments in the Middle East to assess whether supply conditions are becoming tighter. US policy towards Russian energy exports has added another layer of uncertainty to the market.
According to the report, President Donald Trump signed an executive order on Friday waiving key Russia-related US sanctions and tariffs, including certain duties and penalties associated with purchases of Russian energy.
However, Trump said on Saturday that he had yet to announce a final decision on the matter. US Secretary of State Marco Rubio also said officials needed more time to evaluate the situation.
Any changes affecting Russian oil exports could influence the amount of crude and refined products available on international markets, depending on how the measures are implemented.
The International Energy Agency said last week that Russia’s crude oil production increased by 65,000 barrels per day in September to 8.43 million barrels per day. Despite the increase, Russian output remained about 870,000 barrels per day below its level a year earlier.
