Brent holds above $110 as Red Sea attacks raise Middle East supply fears

Brent crude futures held at $110 per barrel on Friday after Houthi attacks near the Red Sea heightened worries of wider fighting in the Middle East. The international benchmark was on track for a third consecutive weekly gain.

West Texas Intermediate crude traded near $100 a barrel. It was on pace to finish the week down roughly 0.5%. Brent's gain came even as WTI was set for a small weekly decline, leaving the two benchmarks at different weekly directions.

Attacks hit Saudi airports and Aramco field

The Red Sea area has seen more attacks recently, including strikes on Saudi Arabian airports and on an Aramco oil field this week. Saudi Aramco on Thursday ordered the evacuation of its headquarters in Dhahran. It was the oil giant's first such evacuation since the Iran war began.

The United States has ordered nonessential embassy personnel to leave Saudi Arabia after the attacks on the country's airports and oil fields. The New York Times reported this week that the US and Israel have drawn up plans for renewed attacks on Iran after the midterm elections next month. That has raised expectations of increased fighting in the region. President Trump has said he will not attack Iran before the midterms and has suggested fuel prices will fall afterward.

US fuel prices remain high

The national price of gasoline stood at $4.29 per gallon on Friday, roughly $1.22 higher than a year ago. Diesel hovered around $6.31, about $2.68 more than this time last year.

A power outage at a refinery in the Chicago area is expected to send refined fuel prices even higher in the region. "You're going to see a lot of $5 gas prices in places like Michigan, Ohio, Minnesota, Illinois, and Indiana," Gulf Oil chief energy adviser Tom Kloza said on Thursday.

The warning points to fresh pressure on pump prices in parts of the US Midwest. It also comes as traders watch supply risks from the Middle East, with Brent holding above $110 and WTI near $100. The refinery outage is local, but it lands at a time when diesel and gasoline costs are already well above year-ago levels.

What it means for Nigeria

For Nigeria, Brent above $110 is supportive for oil revenue and dollar inflows. But elevated petrol and diesel prices abroad also add to import cost pressure, especially for businesses and consumers exposed to refined fuel prices. Higher crude prices can lift Nigeria's export earnings, but the country's fuel import bill remains a key risk.