EMEA crude futures edged higher in after-hours trading on Tuesday as heightened US-Iran hostilities and renewed threats from Yemen's Houthis fueled concerns over potential supply disruptions along critical Middle East energy routes.
Brent crude futures climbed 2.3% to $91.29 per barrel, while Murban crude futures rose by 4.9% to $85.79/bbl.
Saxo Bank strategists said US strikes on Iran entered a tenth day as Iran continued to retaliate and traffic via the Strait of Hormuz slumped following attacks on shipping.
The US Central Command said on Monday night that it launched another round of strikes, targeting Iranian military command centers, launch sites and air defenses, to "further degrade" Tehran's capabilities to attack ships in the Hormuz.
The 10th consecutive night of strikes follows President Trump's vow that Iran "will pay" for killing American soldiers. Iran, in response, said it struck two oil tankers in the strategic waterway, as well as US military assets in Bahrain, Kuwait and Jordan, according to Iranian media reports.
The United Kingdom Maritime Trade Operations said two vessels reported being struck by unknown projectiles in and near the Strait.
Soojin Kim, research analyst at MUFG, said that risks to regional energy supplies remain elevated as attacks on vessels in the Hormuz disrupted shipping traffic, while Yemen's Houthi threatened Saudi maritime exports through the Red Sea.
The International Energy Agency said it's "closely monitoring the situation in oil markets" as escalating hostilities in the Middle East increase concerns over security of supplies.
IEA executive director Fatih Birol said that markets "continue to benefit from several cushioning factors", including significant supplies from Persian Gulf producers such as Saudi Arabia and the UAE.
Fueling bullish sentiment, Yemen's Houthis threatened a maritime embargo against Saudi Arabia on Monday, warning that any further escalation by Riyadh would be met with a broader response.
The Houthis have repeatedly threatened to close the Bab el-Mandeb Strait during the Middle East conflict. A wider conflict with the Houthis could jeopardize Saudi Arabia's oil exports through its East-West Pipeline, which allows crude to bypass the Strait of Hormuz.
The two tankers, which loaded Saudi crude bound for China and India this week, reportedly made U-turns and were headed toward the Suez. Kpler said in a post on X that the diversions of XIN LONG YANG and RODOS could be an early indication of broader changes in tanker trade flows.
Elsewhere, there have reportedly been disruptions after several attacks at the Caspian Pipeline Consortium terminal on Russia's Black Sea coast, which exports most of Kazakhstan's oil.