Oil prices rebounded Monday after falling more than $3 earlier in the session, as Houthi claims of attacks on Saudi energy sites outweighed President Donald Trump’s decision to waive new sanctions on Russian energy.
Brent crude rose 17 cents to $110.03 a barrel at 1:08 p.m. ET (1708 GMT), Reuters reported. U.S. West Texas Intermediate gained $1.68 to $103.09 and was on track for its highest settlement since Sept. 15.
Yemen’s Houthis said they had struck Saudi energy, airport and military targets, including an Aramco facility in Yanbu and the Shaybah oilfield. Saudi authorities did not immediately confirm the claims, and Reuters could not independently verify them.
Prices had slipped early in the day as traders took profits after last week’s rally to a five-month high.
What Trump’s order waives
Trump signed the order on Oct. 16, using powers in the Lindsey O. Graham Sanctioning Russia and Iran Act, which he signed into law Sept. 18. The new measures were due to start Oct. 18.
The order sets aside duties of up to 500% on Russian goods and up to 100% on the largest buyers of Russian crude and gas, along with a set of new sanctions. Trump told Congress the waivers were in the national interest.
Sanctions imposed under earlier executive orders on Russia stay in place. The order also tells the U.S. trade representative to track purchases of Russian oil and gas and report back to the president.
The package had targeted Russian officials, oligarchs, banks and the so-called shadow fleet of tankers, ABC News reported.
Lawmakers push back
Sen. Richard Blumenthal, a Connecticut Democrat, wrote on X that the waivers had “everything to do with sucking up to Vladimir Putin.” Republican Sen. Thom Tillis called the move “beyond irresponsible,” noting that the Senate passed the law 86-11.
White House spokeswoman Taylor Rogers defended the decision, saying the law “provides the President with additional authorities to pursue a peaceful resolution.”
Analysts doubt the waiver will add supply quickly. “The waiver raises the prospect of additional Russian fuel exports, but uncertainty over its implementation and duration limits confidence in a sustained supply increase,” Gelber and Associates said.
Shipping through the Strait of Hormuz remains the bigger worry. Crude flows through the region averaged about 8.5 million barrels per day over the past week, down from more than 20 million the week before, according to data firm Kpler.
The front-month WTI contract expires Tuesday, Oct. 20.