The unprecedented attacks on Saudi oil facilities over the weekend are widely viewed by analysts as the most significant supply disruption the oil market has ever seen, increasing the geopolitical risk premium in prices. But opinions vary on just how much it has or will increase.
Much of the debate centers on whether the market has already priced in the risk or most traders are simply awaiting another substantial near-term disruption, an outcome analysts view as almost inevitable. Analysts told S&P Global Platts Thursday that they view the attacks, which disrupted nearly 6% of global oil supply, as only the latest supply disruptions in the Middle East as tensions between the US and Iran ratchet up.
Read the full story and more in S&P Global.