Brent Breaks $113 as Traders Brace for Months of Disruption

Oil prices continued to climb in early Asian trade on Thursday, with traders pricing in a prolonged disruption to Middle East supply flows as inventories continue to shrink. Brent crude for July delivery climbed to $113.09, up 2.65%, while West Texas Intermediate rose 2.28% to trade at $109.30. Notably, the expiring front-month Brent contract was trading at over $121, highlighting just how tight prompt supply has become in the region. The latest rally has come on the back of failed diplomatic efforts to reopen the Strait of Hormuz and a continuing…