Brent Settles at $107.63, WTI at $102.48 as Shipping Risks Widen

Key Facts

Both oil benchmarks jumped more than 6% on September 10. Brent settled 6.34% higher at $107.63 a barrel, while WTI gained 6.69% to $102.48, as risks mounted around oil-supply routes in the Gulf and Red Sea.

The breakout began on September 9, when Brent crossed $100 for the first time since July and settled at $101.21, while WTI finished at $96.05. The U.S. benchmark joined Brent above $100 in the following session.

U.S. Central Command said its forces destroyed 5 Iranian crude carriers on September 8 after Iranian missile attempts targeted a U.S. warship. It also said U.S. forces directed the crews to abandon the vessels before they were struck. Those details remain an account from a party to the conflict; independent news organizations reported the operation's announcement without establishing every detail separately.

The rally coincided with the Houthis' seizure of Yemen's coastal city of Mokha, according to separate reports from Reuters and the Associated Press. Mokha lies about 80 kilometers from the Bab el-Mandeb Strait, while preliminary tracking data showed only 7 vessels transited the Strait of Hormuz on September 9, leaving the market exposed to simultaneous risks along 2 major regional routes.

President Donald Trump said oil prices might not fall before the November 3 U.S. midterm elections and also predicted that the war would end after the vote. The remarks are a political forecast, not evidence of when prices will decline or the fighting will end.

Economically, oil remaining above $100 could raise transportation-fuel and production costs, with some increases passing through to goods and services and adding to inflation pressure. Crossing the threshold alone does not ensure a sustained rally; the path will depend on the duration of shipping disruptions, available alternative supplies and demand's response to higher prices.

On the producer side, 7 OPEC+ countries met virtually on September 6 and decided to maintain September production requirements in October. They scheduled their next meeting for October 4 to review market conditions without pre-committing to an output change.