Oil prices surge past $100 as Middle East tensions threaten supply routes

Oil prices jumped sharply on Thursday after Houthi rebels attacked two Saudi oil tankers in the Red Sea. Brent crude rose more than 6% to over $100 per barrel, its highest price in eight weeks. US crude also climbed more than 5%, reaching nearly $92 per barrel.

The Houthis, who are based in Yemen and supported by Iran, used missiles and drones to hit the tankers Encelia and Layla. They have also announced a blockade of Saudi oil shipments through the Red Sea. Saudi Arabia has been using this route because the Strait of Hormuz has faced closure threats.

Analysts say that if both routes close completely, oil prices could rise to $160 per barrel.