Brent Tops $116 for Six-Month High, Heads for Third Weekly Gain

Brent crude futures climbed to their highest level in nearly six months on Friday, October 23, 2026, as attacks on Saudi Arabian energy sites and expectations of renewed U.S. military action against Iran raised concerns about Middle East supply. Brent was up 2.6% at $116.13 a barrel, the highest level for the international benchmark since April 30, CNBC reported, while U.S. West Texas Intermediate crude traded about 3% higher at $102.56.

Weekly performance

At that level, Brent was on track for a weekly rise of nearly 6% and a third consecutive week of gains, while WTI was headed for a weekly increase of about 1%, according to CNBC. Prices moved through a wide range during the session. At 12:04 GMT, December Brent futures traded at $114.70 a barrel, up 4.4% from the previous Friday's close of $109.86, and December WTI traded at $101.01, up about 2% from $99.02 a week earlier, Anadolu Agency reported.

The rally has lifted energy shares. The S&P 500 energy sector index rose to a record high on Friday morning, tracking oil prices, according to Reuters.

Attacks and military tensions

Iran-allied Houthi militants in Yemen have continued to strike targets in Saudi Arabia. A drone attack on the Shaybah oil field in the kingdom's Eastern Region on Wednesday left two people dead and two injured, according to Saudi state media cited by CNBC. At least two people were killed and eight injured in an attack on King Fahd International Airport in Dammam the same day. The U.S. State Department has ordered all non-essential personnel to leave Saudi Arabia, and Saudi Aramco told staff to evacuate its Dhahran headquarters and work remotely, Reuters reported.

Traders increasingly expect the United States to resume strikes on Iran in the coming weeks, CNBC reported. President Donald Trump said on Wednesday that the U.S. was not negotiating with Iran and that something would happen "fairly soon," and U.S. officials told The New York Times that the U.S. and Israel have plans for fresh strikes on Iran after the midterm elections. Iran's army chief said the country's military is fully prepared for "asymmetric warfare," according to the state news agency Tasnim.

Shipping through the Strait of Hormuz has also been in focus. Iran's Islamic Revolutionary Guard Corps said it had targeted four vessels transferring oil cargoes in the Persian Gulf and warned that the conflict could expand to U.S. military bases in the region, according to Anadolu Agency. Ukrainian drone attacks on Russian oil infrastructure and the closure of a pipeline valve near Libya's Zawiya refinery added to supply concerns, the agency reported.

U.S. inventories

U.S. government data released this week also showed tighter domestic supplies. Commercial crude oil inventories, excluding the Strategic Petroleum Reserve, fell by 3.1 million barrels to 412.5 million barrels in the week ended October 16, about 3% below the five-year average, the Energy Information Administration said in its weekly report, Rigzone reported. Gasoline inventories fell 3.0 million barrels to a level 5% below the five-year average, while distillate stocks rose 1.7 million barrels.

U.S. refineries processed 16.6 million barrels a day during the week, operating at 93.4% of capacity. Crude in the Strategic Petroleum Reserve stood at 282.7 million barrels, down 30.8% from a year earlier, according to the EIA data. Analysts had expected a crude draw of about 100,000 barrels, according to Anadolu Agency.

Factors limiting gains

Several developments restrained the rally, according to Anadolu Agency. Reports of diplomatic efforts involving the U.S. and Iran, including a compromise proposal reportedly presented by Qatar and Pakistan, raised hopes of a negotiated settlement and an eventual reopening of Hormuz. Crude exports from Gulf producers have recovered toward prewar levels. Trump's decision to delay further sanctions on Russia, to avoid undermining peace negotiations with Ukraine, along with expectations of more Russian diesel supplies, also tempered prices.

Oil traders are also watching the Federal Reserve, which holds its next policy meeting on October 27 and 28, as higher energy prices feed into inflation expectations.