Mideast tensions drive oil to 13-month highs

Oil prices soared on Monday (February 15).

Fears of heightened tensions in the Middle East prompted fresh buying, pushing prices to their highest in about 13 months.

Brent crude was up as much as 1.6% in morning trade.

While U.S. benchmark futures gained over 2%.

Monday's rally follows last week's oil price gains of around 5%.

Concerns are growing over the Middle East.

On Sunday (February 14) the Saudi-led coalition fighting in Yemen said it intercepted and destroyed an explosive drone.

State TV reports say it was fired toward the kingdom by the Iran-aligned Houthi group.

Analysts say the tensions prompted the early spike in trading.

Others say it was also driven by growing hopes that U.S. stimulus and easing of lockdowns will boost the economy and fuel demand.

Oil prices have also been supported in recent weeks as supplies tighten.

That's due largely to production cuts by the OPEC group of producer nations and its allies.