Crude Oil Surpasses $100 per Barrel Amid Middle East Conflict

International crude oil prices surged again amid the escalating conflict in the Middle East. Fears of prolonged tensions and disruptions to oil supplies pushed the benchmark Brent crude price above the psychological threshold of $100 per barrel in global markets.

According to a Reuters report, this was the first time since July 24 this year that oil prices touched and crossed the symbolic $100 psychological threshold.

According to the report, at around 07:21 GMT, Brent crude futures rose $2.15, or 2.2%, to $100.07 per barrel. At the same time, the US benchmark West Texas Intermediate (WTI) crude rose $1.70, or 1.83%, to $94.73 per barrel.

Analysts said that in recent days, drone and missile attacks by Iran-backed Houthi rebels on several key energy facilities in Saudi Arabia caused severe fires at several power and oil-processing facilities. This has raised serious concerns that the conflict in the Middle East could escalate further, posing a major threat to the global crude oil supply chain.

Amid ongoing volatility in energy markets, leading global financial institutions and banks have raised their oil price forecasts. Global investment banks including Goldman Sachs, Bank of America and HSBC have warned that their crude oil price projections are moving upward.

There are growing concerns that such an unchecked surge in international energy prices could trigger a fresh wave of inflation in global food and essential-goods markets.