Oil price tops $100 after Houthi tanker attack claims
8 reported
The price of crude oil rose above $100 per barrel following Houthi claims of attacks on two Saudi oil tankers in the Red Sea, according to an NPR report. The Houthis, military rebels in Yemen aligned with Iran, are threatening a naval blockade of the Red Sea, a key alternative shipping route to the Strait of Hormuz, which has been effectively shut down by the U.S. war with Iran. Brent crude had been trading under $70 per barrel in early February before the war began, and this marks the first time it has jumped over $100 since May. Gasoline prices climbed back over $4 per gallon this week, according to AAA, though they remain below their May peak. Diesel prices could approach an all-time high in coming weeks due to the Middle East conflict and escalating Ukrainian attacks on Russian oil facilities. The surge in oil prices also affected airline stocks and contributed to a rise in mortgage rates, with the average 30-year mortgage rate hitting 6.58%, the highest in nearly a year.
What’s reported
The price of crude oil cracked $100 per barrel again on the day of the report.
Houthis claimed attacks on two Saudi oil tankers and are threatening a naval blockade of the Red Sea.
The Strait of Hormuz has been effectively shut down by the U.S. war with Iran.
Brent crude was under $70 per barrel in early February before the war began.
This is the first time Brent crude jumped over $100 since May.
Gasoline prices climbed back over $4 per gallon this week, per AAA.
Diesel prices could make a run toward an all-time high in the coming weeks.
The average rate for a 30-year mortgage hit 6.58% this week, the highest in nearly a year.
Key figures
Alina Selyukh, NPR reporter
Erich Muehlegger, professor of economics at the University of California, Davis
Patrick De Haan, analyst at GasBuddy
Ailsa Chang, NPR host
Sources: NPR
