Oil Surges as Truce Talks Collapse in Ukraine and the Middle East
Crude oil rebounds as weekend strikes by Russia on Ukraine's energy grid and Houthi attacks on Saudi Arabia shatter fragile truce hopes. We break down how rising geopolitical tensions in Eastern Europe and the Middle East are pushing Brent and WTI higher to start the week.
Chapter 1
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Grant Calloway
Welcome to the Bull Sheet. It's Monday, October 12th. Friday I told you that crude's dip to 103 rested on truce talk the market didn't believe. Well, the market was right, and the weekend made the case for it.
Grant Calloway
Here's the setup. Russia struck Ukrainian power plants, after President Trump said the two sides had agreed to leave each other's energy infrastructure alone. And Houthi strikes on Saudi Arabia's main airport killed 12 people over the weekend. Mr. Trump suggested the US may join Saudi Arabia in retaliating. That's the kind of move that risks widening the Middle East war. So oil is back. Brent was up about two percent in early trading, around 106 to 107 dollars a barrel. WTI was near 93 and a half. Same fuel bill that cracked Delta on Friday, just with a fresh coat of paint.