Crude oil futures ended higher on Tuesday, extending their previous session’s gains, amid concerns about supplies following several companies rerouting their vessels due to the attacks by the Houthi militants in the Red Sea. Several countries, led by the U.S. have agreed to jointly carry out patrols in the southern Red Sea and Gulf of Aden after the Iran-backed Houthis waded into the Israel-Hamas conflict by attacking vessels in vital shipping lanes, causing supply disruptions and raising supply concerns. The Houthis have reportedly vowed to defy the U.S.-led naval mission and keep hitting Israeli targets in the region.
Benchmark crude oil futures for January delivery rose $0.97 or 1.3 percent to settle at $73.44 a barrel on the New York Mercantile Exchange. Brent crude for February delivery was up by $1.28 or 1.6 percent to settle at $79.23 a barrel on London's Intercontinental Exchange.