Oil prices hit five-month high as Gulf attacks threaten supply

Oil prices jumped to a five-month high on Thursday, with Brent crude rising 3% to $112 a barrel, after attacks in Saudi Arabia and hits to tankers near the strait of Hormuz threatened global crude supply. The escalation marks the first time Brent has reached this level since May 18. Yemeni Houthis, aligned with Iran, struck targets in Saudi Arabia on Wednesday, killing two people at a civilian airport in Dammam and two in a drone attack on an oilfield. Iran's Islamic Revolutionary Guard Corps said it hit four vessels in the northern Gulf and three more struck mines near Hormuz, warning the US of wider responses to provocations. The US ordered some diplomats and families to leave Saudi Arabia and plans withdrawals from other Middle East missions, while Saudi Aramco evacuated its Dhahran headquarters. Despite the turmoil, Kpler data shows Persian Gulf oil exports have risen above prewar levels due to increased overland pipeline flows, though global stocks fell on inflation and borrowing cost concerns.