Brent crude oil futures hit $110 per barrel Friday for the first time since May, closing at $109.86 and gaining 3.7%, as geopolitical tensions across two key oil regions escalated simultaneously. U.S. West Texas Intermediate rose 3.5% to $101.41 per barrel. WTI added more than 10% this week while Brent advanced nearly 5%.
In the Middle East, Iran-allied Houthi militants fired multiple missiles at Saudi Arabia on Friday. The Saudi military intercepted several missiles over the Red Sea, including one aimed at the Yanbu oil export terminal, and destroyed three drones in Riyadh and southern regions. The Houthis have attacked repeatedly this week. An Aramco administrative building in Dhahran was hit Tuesday, Saudi Arabia's energy ministry said. The group attacked Riyadh's international airport on Oct. 10, killing 12 and injuring more than 300.
Separately, at least nine tankers and cargo ships came under attack in the Strait of Hormuz since Sunday as Iran attempts to disrupt oil exports through the waterway. The U.S. Central Command said Iran sank the Singapore-registered container ship GFS Pride on Wednesday. The crew was safely evacuated. The attacks injured three seafarers and left two missing this week, according to the International Maritime Organization.
Crude exports through Hormuz have declined after reaching prewar levels in September. Shipments stood at 9.4 million barrels per day for the week ended Wednesday, roughly 70 percent of average prewar volumes, according to energy researcher Kpler.
In Eastern Europe, President Volodymyr Zelenskyy said Kyiv would resume striking Russian refineries after the Kremlin continued attacking Ukrainian infrastructure despite a proposed "energy ceasefire" that President Donald Trump attempted to broker. Diesel prices have surged this year due to Ukraine's refinery attacks and Iranian strikes on Middle Eastern energy infrastructure. U.S. diesel averaged $6.33 a gallon Friday, more than 70 percent above the same period last year, according to AAA data.
U.S. crude prices also rose after commercial crude inventories fell more than 8 million barrels for the week ended Oct. 9 due to production shut-ins on the Gulf Coast from Hurricane Isaias, according to the Energy Information Administration.