Oil rose on Monday after Iran and Oman failed to reach an agreement over the
weekend to reopen the Strait of Hormuz and Houthi forces claimed an attack on a
Saudi refinery near the Red Sea. Brent briefly approached $84/bbl and WTI
reached $78.5/bbl, both up nearly 3%. Karobar Capital CIO Haris Khurshid said:
"As long as the market is pricing a possibility of supply disruption rather than
certainty of normalization, sentiment will remain bullish. I think geopolitical
risk will continue to support crude until we see actual oil flows return to
normal."
