Oil Industry Contends With Hormuz Attacks, Hurricane Risk

AI Summary

Attacks around the Strait of Hormuz and hurricane risks are putting pressure on oil markets, with elevated freight costs contributing to high crude prices. Kpler’s Michelle Brouhard warned that Hurricane Isaias could raise refined-product prices if it disrupts Gulf refinery capacity.

Michelle Brouhard, head of policy and geopolitical risk at trade data firm Kpler, said 'we continue to have high prices in crude' since freight rates are 100 times higher than they were this time last year amid heightened risk in getting oil out of the MidEast. Brouhard also discussed the impact Hurricane Isaias could have on oil as it makes its way through the gulf, saying if refinery capacity is taken out of commission the world could see a 'significant hike' in the price of refined oil products. (Source: Bloomberg)