July 23 (Reuters) – U.S. energy shares rose on Thursday as Brent crude touched $100 a barrel, extending a five-day rally after attacks on two Saudi oil tankers heightened concerns over global oil supply disruptions.
Houthi forces in Yemen have widened the conflict by targeting vessels carrying Saudi oil in the Bab el-Mandeb strait, after declaring a naval blockade on Saudi shipments, raising the prospect of disruptions at another key oil transit chokepoint alongside the Strait of Hormuz.
Here are more details:
• Brent crude futures rose 6.7% to $100.37 per barrel by 1401 GMT, crossing $100 for the first time since May 26. U.S. West Texas Intermediate crude was up 5.5% at $91.91 per barrel. [O/R]
• PVM Energy analyst John Evans said rerouting the oil shipments could more than double voyage times from the Saudi port of Yanbu to China, from over 20 days to more than 50 days.
• Middle East oil production was likely to recover more slowly than markets expect because inbound vessel traffic remains subdued amid the renewed conflict, keeping crude markets tight and supporting prices, said UBS analyst Giovanni Staunovo.
• Shares of Exxon Mobil and Chevron rose 1.6% and 1.9%, respectively. Diamondback Energy, Devon Energy, ConocoPhillips and Occidental Petroleum were up between 1.7% and 2.7%.
• Refiners Valero Energy, Marathon Petroleum and Phillips 66 also gained between 1.1% and 1.3%.
• Before tensions flared again after July 8, analysts had cut their 2026 oil price forecasts for the first time since the Iran war began, a Reuters poll showed in June.
• Energy stocks have swung with developments in the conflict, surging on supply disruption fears before pulling back after the U.S. and Iran reached a temporary peace agreement.
(Reporting by Sumit Saha in Bengaluru; Editing by Tasim Zahid and Sahal Muhammed)
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