US strikes on Yemen's Houthis, China stimulus drive surge in oil prices
Brent crude was up 1.3% to $71.53 a barrel on Monday morning compared to close on Sunday.
Oil prices rose to a two-week high Monday following the US attacks on the Houthis over the weekend amid fears that the Iran-backed rebels will attack energy infrastructure in retaliation and rising prospects of regional escalation involving Iran.
What happened: US Secretary of Defense Pete Hegseth said Sunday the military would keep attacking the Houthis until the rebels ended their assault on shipping in the Red Sea. Washington carried out several airstrikes on Saturday that killed at least 53 people, marking the biggest American military operation in the Middle East since President Donald Trump returned to the White House in January.
Brent oil futures rose above $71 on Monday following the military strikes. The Middle East and North Africa region is energy rich, and the Houthis have a history of attacking energy infrastructure. In March 2022, the militia used drones to attack an Aramco oil refinery in neighboring Saudi Arabia in response to attacks by the Riyadh-led Arab coalition in Yemen.
Global benchmark Brent crude hit $71.53 a barrel Monday morning Eastern Time, up 1.3% compared to its close on Sunday.
