The black commodity turned to green on Thursday and hiked on Middle East supply disruption. Saudi Arabia with its allies started air strikes on Yemen and its Houthi rebels, estimated to be backed by Iran. Houthi rebels were besieging Aden, a relevant port for oil producers due to trade route via Gulf of Aden and Suez Canal. This escalation helped to lift oil prices to even 5% during the European session with West Texas Intermediate (WTI) reaching intraday high at $52.45 and Brent crude at $59.74 a barrel. Nevertheless, as this surprise faded away, stronger dollar was able to offset most of previous gains and dragged WTI even below $50.00 level. Atlanta Fed representative Dennis Lockhart hinted that rate-hike will be on table during June’s, July’s or September’s meeting, boosting the US currency higher against its major counterparts and dollar-backed commodities.
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