ICE Brent crude is trading near $118 a barrel, on course for a 13-14% monthly gain, as rising attacks near the Strait of Hormuz and reports of military movements fuel fears of renewed US-Iran conflict.
UBS lifted its Brent crude outlook for a second time this month, now pointing to $110 a barrel by the close of 2026 instead of $100, citing persistent tightness across Gulf supply.
A fire broke out near Saudi Arabia's Ras Tanura export hub on the Persian Gulf early Tuesday following an attack, though Saudi authorities contained the blaze quickly, a person familiar with the matter said.
Riyadh and Singapore agreed to store Saudi crude in underground caverns on Jurong Island from the second half of 2027, a long-term response to Hormuz shipping risks that has no near-term impact on oil supply.
Brent crude climbed to $114.00 a barrel and WTI crude rose to $100.40, as Houthi attacks on Saudi infrastructure and a Libyan pipeline shutdown fuelled a sharp weekly rally in oil prices.
Brent crude climbed 0.45% to $114.02 a barrel and WTI added 0.42% to reach $100, putting Brent on course for a third consecutive weekly rise after Saudi Aramco pulled personnel from its Dhahran headquarters.