Oil prices jump amid record attacks on tankers in the Strait of Hormuz

Oil prices rose on Thursday, amid continuing concerns about global supplies, following a record number of attacks on oil tankers, which led to a decline in transit traffic through the Strait of Hormuz to its lowest levels in two months. Brent crude - the global oil standard - rose by 4.3% to reach $104.48 per barrel early on Thursday, and West Texas Intermediate crude - the American standard - rose by a similar percentage to reach $92.05 per barrel.

Kpler data showed that only 7 tankers crossed the Strait of Hormuz on Tuesday, which is less than half the average recorded over a 7-day period, and represents the lowest number since July 23. The company stated in its report, Thursday, that a record number of attacks were recorded on commercial ships, as 10 tankers were targeted in the Strait during the period between September 28 and October 4, a number that far exceeds the previous highest weekly average of 6 attacks. This increase in attacks comes at a time when crude oil flows continue from the Gulf region, highlighting the continuing risks threatening ship crews and oil shipments. In the most recent attack that occurred on Wednesday, the United Kingdom Maritime Trade Operations Agency reported that a tanker was struck by “multiple projectiles,” resulting in casualties.

Fears of losing more supplies also contributed to pushing oil prices up, with Hurricane Isaias heading toward the American oil refining center on the Gulf Coast. The two giant oil companies, Shell and Chevron, announced their intention to reduce production in the region and evacuate non-essential employees. The rise in oil prices coincided with an increase in natural gas and diesel prices in Europe, fueling concerns about inflation and contributing to a new selling wave of European bonds, given the continent's dependence on imported energy.