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Brent Crude Surges Past 110 Dollars Amid Middle East Conflict and Russia Supply Fears
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Moneycontrol•17-10-2026, 00:45
Brent Crude Surges Past 110 Dollars Amid Middle East Conflict and Russia Supply Fears
- •Brent crude hit 110 dollars a barrel for the first time since May as diminishing prospects for supply relief drove a strong market rally.
- •Prices rose 3.7 percent amid ongoing conflict in major export hubs, including Houthi attacks in Saudi Arabia and strikes on energy infrastructure between Russia and Ukraine.
- •US lawmakers introduced a bill to block a diesel release deal with Moscow, intensifying concerns over tight global fuel supplies and rising geopolitical tensions.
- •Crude prices have surged more than 70 percent this year, while European diesel futures have more than doubled due to severe supply disruptions.
- •Analysts warn that the Middle East conflict is increasingly likely to escalate, with geopolitical risks continuing to support higher oil prices.
Key Questions Answered
Brent crude reached $110 per barrel as waning prospects for imminent supply relief, ongoing conflicts in major export centers, Iran-backed Houthi strikes on Saudi Arabia, and energy infrastructure attacks between Russia and Ukraine fueled a major price rally.
US lawmakers introduced a bill to block President Donald Trump's agreement to release hundreds of millions of barrels of Russian diesel, reflecting widespread political opposition to measures that would enable Russia to pad its war chest.
Eurasia Group analysts raised their probability assessment for conflict intensification to 65% from 35%, noting that the current standoff status quo is no longer sustainable for the United States.
