Oil Likely To Get Costlier As Brent Crude Prices Rise To Highest Levels Since 2014

Oil Prices News: The Brent crude futures touched $87 per barrel, before settling at $86.92. It is the highest since October 2014. The oil price today was at $84.95 per barrel on NYMEX.

New Delhi: Oil prices are most likely to rise as geopolitical tensions rise, causing supply-side disruptions. According to a report by Reuters, the Brent crude futures touched $87 per barrel, before settling at $86.92. It is the highest since October 2014. The oil price today was at $84.95 per barrel on NYMEX.

The price rise was attributed to the supply-side disturbances due to Yemen’s Houthi group’s attack on the United Arab Emirates. This, according to the report, will lead to more hostile behaviour between the two power centres in the Middle East, Iran and Saudi Arabia.

The rebels launched drone and missile attacks, killing three people. According to media reports, two out of the three killed were Indians. Houthi rebels, according to the report, also said that they would launch more attacks in near future. UAE, on the other hand, said that it was within their rights to counter these ‘terrorist attacks’.

The incident took place at UAE’s Mussafah fuel depot. Fuel firm, ADNOC, has said that they are ensuring uninterrupted supply to its customers, the report added.

According to the report, the demand for oil has also been high due to the colder winter in Northern Hemisphere. This has led to more demand for heating fuels. The supply-demand imbalance is expected to push the oil prices higher.