Sigapore: Oil prices jumped 1 per cent on Tuesday, starting the New Year higher as a Red Sea naval clash focused attention on potential Middle East supply disruptions and expectations of Chinese economic stimulus boosted the demand outlook in the world’s top crude importer.
Brent crude rose $1.03, or 1.3 per cent, to $78.07 a barrel by 0225 GMT while US West Texas Intermediate crude was at $72.53 a barrel, up 88 cents, or 1.2 per cent.
The risks of the Israel-Gaza conflict morphing into a wider regional conflict rose over the weekend after US helicopters repelled an attack on Sunday by Iran-backed Houthi militants on a Maersk container vessel in the Red Sea, sinking three Houthi ships and killing 10 militants, according to accounts by American, Maersk, and Houthi officials.
