WTI Crude Tops $110 as Hormuz Tanker Attacks Tighten Supply

West Texas Intermediate crude surged more than 6% on Tuesday to breach $110 a barrel, while Brent hit a five-month high, as escalating Middle East tensions and attacks on tankers in the Strait of Hormuz squeezed global supply. The November WTI contract, expiring Tuesday, rose 6.58% to $110.48 a barrel as of 7:38 a.m. ET, on track for a ninth straight session of gains and a monthly advance of nearly 20%. December Brent gained 1.94% to $111.67, its highest level since May. Shipping tracker Kpler said at least 18 vessels have been attacked over the past two weeks. Iran's Revolutionary Guard claimed two tankers struck mines laid by its naval forces, and a Foreign Ministry spokesman warned of a response "equal or stronger" to any U.S. attack. President Trump said earlier this month the U.S. military would not strike Iran before the November 3 midterm elections. PVM Oil Associates analyst Tamas Varga said the expiring WTI contract reflects tightening global supply, with Middle East exports declining as Houthi attacks on Saudi infrastructure intensify. Expectations of lower U.S. commercial crude inventories also supported prices.