This archive report was first published on 16 September 2019.
On September 16, 2019, a devastating attack on two Saudi Arabian oil plants by Huthi rebels in Yemen sent shockwaves through the global oil market, causing prices to surge over 10%.
West Texas Intermediate (WTI) oil prices jumped 10.68% to $60.71 per barrel, while Brent crude oil prices climbed 11.77% to $67.31 per barrel in early Asia trading.
The attack, which was blamed on Iran by US President Donald Trump, effectively shut down 6% of the global oil supply and sparked fears of a conflict in the Middle East.
Trump said the US was 'locked and loaded' to respond to the attack, while Secretary of State Mike Pompeo vowed to work with allies to ensure energy markets remained well supplied and Iran was held accountable.
Tehran has denied the accusations, but the news has revived fears of a conflict in the region after a series of attacks on oil tankers earlier this year.
Jeffrey Halley, a senior market analyst at OANDA, warned that tensions in the Middle East were rising quickly, and the story would continue to reverberate throughout the week.
