- Brent crude for November delivery gained 1.2% to $101.54 a barrel and WTI for October rose 0.77% to $96.55 after Washington announced the Iranian airline shutdown, with traders still watching Iranian President Masoud Pezeshkian's arrival at the UN General Assembly for a possible diplomatic track.
- Saudi Arabia has halted loadings at Yanbu, its Red Sea export terminal that bypasses the Strait of Hormuz, since the Sept. 10 drone attacks on the East-West onshore pipeline; Aramco officials informally told at least three Asian refiners that cargoes could soon be picked up again.
- Houthi rebels seized Yemen's Perim Island on the Red Sea, tightening their grip on the Bab el-Mandeb Strait and putting Iran and its proxies on course to control two critical oil choke points alongside the Strait of Hormuz.
- The UK will support Saudi Arabia against Iranian-backed Houthi rebels with Royal Air Force air-to-air refueling of Saudi planes, an arrangement Prime Minister Andy Burnham said will run for weeks and stay under review, after President Trump declined Riyadh's weekend request for help.
Quotes
“How do we do that? That if they land, you cannot provide them with fuel. You cannot provide them with landing services, you cannot sell them tickets, or you will be knocked out of the dollar system.”
“Confirmation of direct talks between Washington and Tehran could place additional selling pressure on prices by improving expectations for regional supply”
“acting to secure the interests of Britain and the wider region, because of course Saudi Arabia has been experiencing attack, is looking at potential further disruption, and we need to keep those pathways (for oil) open”