Oil Retreats as Middle East Tensions Intensify
Crude oil fell toward $102 per barrel on Monday, retreating from recent highs despite fears that strikes against Iran could resume following this week’s Israeli elections and next week’s US midterm elections. President Donald Trump said on Sunday that he would soon decide whether to pursue a deal with Tehran or restart military operations, as threats from Iran and the Houthis against Americans in the Middle East continue to escalate. Iran is reportedly prepared to retaliate, potentially targeting Israel and the UAE. Meanwhile, clashes between Saudi Arabia and Iran-backed Houthi rebels intensified over the weekend, with the rebel group claiming to have targeted King Khalid International Airport in Riyadh in response to Saudi strikes on Sanaa and other parts of Yemen on Saturday. Despite these developments, Middle Eastern crude exports have recovered to near prewar levels, although a renewed escalation in the conflict could further disrupt regional energy supplies.
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Crude oil fell toward $102 per barrel on Monday, retreating from recent highs despite fears that strikes against Iran could resume following this week’s Israeli elections and next week’s US midterm elections. President Donald Trump said on Sunday that he would soon decide whether to pursue a deal with Tehran or restart military operations, as threats from Iran and the Houthis against Americans in the Middle East continue to escalate. Iran is reportedly prepared to retaliate, potentially targeting Israel and the UAE.
Meanwhile, clashes between Saudi Arabia and Iran-backed Houthi rebels intensified over the weekend, with the rebel group claiming to have targeted King Khalid International Airport in Riyadh in response to Saudi strikes on Sanaa and other parts of Yemen on Saturday. Despite these developments, Middle Eastern crude exports have recovered to near prewar levels, although a renewed escalation in the conflict could further disrupt regional energy supplies.