Brent Crude Tops $110 as Hormuz Attacks Hit a Weekly High

Brent crude, the global oil benchmark, touched $110 a barrel on Friday, October 16. That is its highest price since May. It settled just under that mark, near $109.70 to $109.90 depending on the report. NTD reports Brent is now more than 50% above where it stood the day before the war with Iran began in late February. The same session, tech stocks lost more than $1 trillion in value, according to Yahoo Finance. Investors are weighing what higher fuel costs mean for inflation and interest rates.

The pressure starts in the Strait of Hormuz. The UK Maritime Trade Operations center (UKMTO), which tracks ship safety in the region, logged 10 to 12 attacks on vessels in or near the strait in the week ending October 16. That is the highest weekly count since the war began. UKMTO says the true number is likely higher because many ships no longer report. The two sides describe the waterway very differently. CENTCOM commander Brad Cooper said the strait is controlled by the United States and its regional partners, and that 400 ships moved through it last week. Iran's Revolutionary Guard says the strait is unsafe for ships that do not coordinate with Tehran. It also says a supertanker hit a mine and caught fire on Saturday. Neither claim has been independently confirmed. Ship-tracking firm Kpler, cited by Al Jazeera, puts oil flow through Hormuz at about 68% of its prewar level.

Oil moves first, and the pump follows. AAA put the national average for regular gasoline at about $4.31 a gallon on October 17. That is more than a dollar above a year ago, and AAA says this is the first October the average has topped $4. Diesel stood at $6.17 a gallon as of October 12, according to St. Louis Fed data cited by NTD. Changes in crude usually reach the pump within days to weeks. These prices are a snapshot as of this weekend and are expected to climb if Brent holds near $110. ING analysts told NTD that taking the war premium out of oil would likely require a US-Iran agreement. Pakistan and Qatar are relaying messages between the two sides, but Al Jazeera reports no breakthrough is expected soon.

For a prepared household, an oil spike is a budget event before it is anything else. Fuel touches the commute, the heating bill and the price of nearly everything trucked to a store. Start with the tank you already own. Keeping your vehicle above half full spreads purchases out, so a sudden jump does not force a full fill at the peak price. It also leaves you ready to leave if a local emergency strikes. If you heat with oil or propane, ask your dealer about a fixed-price plan before winter demand arrives. A few weeks of expenses set aside covers what a pantry cannot, and understanding the role of cash in a crisis helps you decide how much to keep on hand. Market drops like Friday's tempt quick decisions. Knowing how fear-based financial markets behave helps you act on a plan rather than a headline.

Where it stands now: Brent ended the week just under $110, and attacks on Gulf shipping continue. The prices above are as of October 16 and 17 and are expected to keep moving with each new report from the region. This week, top off the car, check your heating fuel level, and add a fuel line to your economic preparedness budget. Be Prepared Not Scared!