Brent crude up 1.4% to $115.47 after Houthis say they hit Saudi Arabia's biggest refinery

Oil price today: Brent crude futures rose $1.59, or 1.4%, to $115.47 a barrel by 0435 GMT (9:35am PKT) on Wednesday 28 October, after Yemen's Iran-aligned Houthis said they had struck Saudi Arabia's biggest oil refinery with a missile, Reuters reported, as carried by ARY News. US West Texas Intermediate gained $1.43 to $101.33. Saudi authorities had not confirmed the strike on the 550,000 barrel-per-day plant.

Prices had fallen nearly $2 on Tuesday before Wednesday's rebound.

The numbers

The rupee figure uses the interbank rate on our dollar rate page; convert other amounts with the currency converter.

Why the market moved

• Gulf supply risk: the Houthi claim marks an escalation of their attacks on Saudi Arabia, the world's second-largest crude producer, during the US war with Iran.
• Iran and the US elections: ING strategists said prices stay high as traders wait to see President Trump's next move on Iran, and that if the US elections pass without renewed strikes, the risk premium could start to fade.
• US stocks: industry data showed US crude inventories fell by about 2.03 million barrels in the week to 23 October, against analysts' expectations of a small build; official figures are due later on Wednesday.
• OPEC+: the group is expected to keep December output targets unchanged at Sunday's meeting.

What it means for Pakistan

Pakistan imports most of its crude and fuel, so every dollar on Brent feeds into the import bill and, two weeks later, into the fuel price review. The government sets pump prices on the 1st and 16th of the month from the previous fortnight's import costs, the exchange rate and the levies, so Brent above $110 since 20 October makes a cut at the 1 November review less likely, unless the government changes the levy. The petroleum levy amendment bill is on the National Assembly agenda today.

PSO's ex-depot Karachi petrol price is Rs 379.25 a litre on our petrol price page, and the KSE-100 page shows how oil and energy shares are trading. Brent has been above $110 since the Hormuz tanker attacks of 20 October.