Hormuz attack and Saudi pipeline shutdown send oil above $108

Photo — Mumtaz Niazi / Pexels

According to reports from Euronews, Brent crude climbed above $108 a barrel on Monday after a merchant ship was struck in the **Strait of Hormuz**, killing one crew member, and **Saudi Arabia** shut its main pipeline that normally allows some exports to avoid the narrow, strategically crucial waterway.[1] The Strait of Hormuz is one of the world’s most important chokepoints for oil and gas, with a significant share of global seaborne energy exports passing through it; any threat to shipping or key bypass infrastructure immediately raises the risk of supply disruptions and price volatility. The attack and pipeline shutdown come amid broader regional tensions and follow earlier concerns about shipping security, prompting traders and policymakers to reassess the resilience of global energy supply chains. The resulting jump in oil prices above $108 is already affecting stock markets and could feed into higher fuel costs, inflation pressures, and renewed debate over strategic reserves and energy diversification in many importing countries.[1][4]

Sources: Euronews, The Straits Times