Oil Rises Above $107 as Saudi Supply Risks Increase

A major factor behind the latest movement is the continued disruption of Saudi Arabia's East-West pipeline

Global oil prices have risen above $107 a barrel as fresh attacks and disruptions to Saudi Arabia's energy infrastructure increase concerns about supplies from the Gulf region. Brent crude reached about $107.35 a barrel on Tuesday, while U.S. crude also moved above $102.

A major factor behind the latest movement is the continued disruption of Saudi Arabia's East-West pipeline, which provides an alternative route for transporting crude without relying entirely on the Strait of Hormuz. The pipeline normally handles roughly four million barrels of oil per day, representing about 4% of global supply.

The market is now watching the duration of the disruption and the wider security situation in the Gulf. Prolonged restrictions could put additional pressure on global energy prices, while any restoration of normal supply routes could ease some of the current concerns.