Crude Oil Futures Close Mixed Amid Escalating Middle East Security Threats

Crude oil futures settled mixed on Monday after reports that Yemen's Houthi movement targeted Saudi energy infrastructure and regional airports. December Brent crude edged down to settle at $109.55 per barrel, while U.S. WTI crude for December fell 0.5% to $98.54 per barrel. Meanwhile, the expiring November WTI contract gained 2.2% to close at $103.66 per barrel on light trading volume.

The price fluctuations come amid intensifying security risks to regional energy transport. Claims of strikes against facilities operated by Saudi Aramco (ARMCO) in Yanbu and Shaybah, alongside an oil tanker explosion caused by a mine in the Strait of Hormuz, have severely reduced regional shipping volumes. Middle East crude shipments dropped to an average of about 8.5 million barrels per day last week, down sharply from over 20 million barrels per day the week before. Although recent U.S. measures eased sanctions on Russian energy exports to relieve supply pressure, market analysts note that global fuel inventories, particularly U.S. distillates, remain historically tight.

Traders will watch whether Saudi officials confirm the reported infrastructure attacks and monitor potential further disruptions along crucial maritime supply corridors. Market participants will also assess whether the release of Russian energy exports can meaningfully offset ongoing refinery capacity constraints and low fuel inventories.