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Brent Crude Surges Past $107 Amid Escalating Global Tensions and Supply Fears
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CNBC TV18•12-10-2026, 20:57
Brent Crude Surges Past $107 Amid Escalating Global Tensions and Supply Fears
- •Brent crude climbed 2.25% to $107.06 a barrel and US WTI rose 2.07% to $93.92 amid growing geopolitical tensions and supply disruption fears.
- •Yemen's Houthi militants launched a deadly missile attack on Riyadh's international airport and targeted two tankers, raising security concerns for Red Sea oil shipments.
- •Uncertainty surrounds a proposed Russia-Ukraine energy ceasefire as Ukrainian President Volodymyr Zelenskyy reported continued Russian strikes on energy infrastructure.
- •Attacks near the Strait of Hormuz have driven tanker freight costs from the Arab Gulf to North Asia to over $1 million per day.
- •Goldman Sachs raised its December Brent crude forecast to $90 a barrel, warning prices could average $125 in 2027 under severe production shortfall scenarios.
Key Questions Answered
Crude oil prices rose due to escalating geopolitical tensions and supply disruption fears, driven by a Houthi missile attack on an international airport in Saudi Arabia, recent vessel attacks near maritime routes, and doubts surrounding a Russia-Ukraine energy ceasefire.
Maritime security threats and fresh attacks near the Strait of Hormuz and Oman have caused a surge in shipping costs, with daily rates for tankers moving oil from the Arab Gulf to North Asia jumping to over $1 million.
Goldman Sachs raised its December Brent crude price forecast to $90 a barrel, factoring in a risk premium of over $20, and expects WTI crude to average $81 a barrel in December 2026 and $73 in 2027.
