Brent jumps 4.4% on U.S.-Iran tensions, Hurricane Isaias

By Farhan Rafid Oil prices jumped more than 4% on Thursday as traders weighed intensifying Persian Gulf shipping risks and U.S.-Iran tensions alongside U.S. offshore production shut-ins ahead of Hurricane Isaias. December Brent crude futures rose 4.4% to $104.73 a barrel, while December West Texas Intermediate futures gained 4.4% to $91.41 a barrel. The latest rise reflects a combination of Middle East and U.S. supply risks, DNB Carnegie energy analyst Helge Andre Martinsen said. He pointed to a tanker attack off Qatar, Houthi attacks on Saudi airports, reports of possible renewed U.S. strikes against Iran and temporary Gulf of Mexico production shutdowns ahead of Hurricane Isaias. Attacks from Houthi militants escalated in Saudi Arabia this week, The Wall Street Journal reported, while Saudi-led coalition forces destroyed Houthi military targets. Shipping risks in the Persian Gulf remain elevated. Meanwhile, U.S. Gulf producers such as Chevron, Shell and Harbour Energy have also deepened precautionary shutdowns as the hurricane approaches. The U.S. Marine Minerals Administration said 511,619 barrels a day, or about 25% of Gulf oil production, had been shut in as of midday Wednesday. The hurricane is expected to continue strengthening through early Friday, according to the National Hurricane Center, and is forecast to approach the northern U.S. Gulf Coast later that day. The International Energy Agency said Wednesday that member countries supported accelerating the remaining emergency oil-stock releases pledged in March and prioritizing diesel where possible. Around 325 million barrels have already been released, while completing outstanding pledges would bring roughly another 100 million barrels to market, the agency said. U.S. crude inventories also fell unexpectedly last week. Commercial crude stocks declined by 3.2 million barrels to 424.1 million barrels in the week ended Oct. 2, according to the Energy Information Administration. A Wall Street Journal survey had expected inventories to increase by 1.7 million barrels. Write to Farhan Rafid at farhan.rafid@wsj.com (END) Dow Jones Newswires October 08, 2026 10:07 ET (14:07 GMT) Copyright (c) 2026 Dow Jones & Company, Inc. The statements in this document shall not be considered as an objective or independent explanation of the matters. Please note that this document (a) has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and (b) is not subject to any prohibition on dealing ahead of the dissemination or publication of investment research.