Key facts
- Houthi attacks on Saudi Arabia, including a claimed missile strike on the Ras Tanura refinery, have reignited oil supply fears.
- Saudi authorities have not confirmed a direct hit on the Ras Tanura refinery, and damage remains unclear.
- Saudi officials reported intercepting multiple ballistic missiles and drones targeting the kingdom on Tuesday.
- US crude inventories fell by an estimated 2.03 million barrels in the week ending October 23, according to the API.
Oil prices climbed in early Asian trade on Wednesday as renewed Houthi attacks on Saudi Arabia reignited supply fears. Brent crude futures rose 1.62% to $115.70 per barrel, and West Texas Intermediate futures gained 1.34% to $101.20. The gains followed a decline on Tuesday amid hopes for diplomatic progress. The Houthis claimed on Tuesday to have struck the 550,000-barrel-per-day Ras Tanura refinery with a ballistic missile, though Saudi authorities have not confirmed a direct hit or extensive damage. Saudi officials reported intercepting multiple missiles and drones targeting the kingdom on Tuesday, including two aimed at Riyadh. Reports also suggest a fire near Aramco facilities at Ras Tanura was contained. Concerns over regional stability were amplified by a Wall Street Journal report claiming the U.S. has warned Gulf Arab countries to prepare for a potential military campaign after the November midterm elections. Additionally, U.S. crude inventories fell by an estimated 2.03 million barrels in the week ending October 23, according to the American Petroleum Institute, providing further support for prices.