Global oil prices surged on Monday. U.S. West Texas Intermediate (WTI) crude rose over 2%. Prices exceeded $107 per barrel, marking the highest level since late April.
Drone strikes targeted key energy infrastructure across the Middle East. Reports confirmed an attack on the UAE’s Barakah nuclear power plant. Saudi Arabia intercepted additional drones that entered its airspace.
The Barakah facility reported no major damage from the strike. The attacks have added a significant risk premium to crude prices. Markets fear a wider regional conflict could disrupt global energy supplies.
The incident follows stalled diplomatic efforts involving Iran and the Strait of Hormuz. Heightened supply risks are fueling broader inflation concerns. These developments increase bets that central banks will maintain restrictive monetary policies.