Oil leaps 5 percent, most in a month, on air strikes in Yemen

Oil jumped about 5 percent on Thursday, the biggest daily gain in a month, as air strikes in Yemen by Saudi Arabia and its Gulf Arab allies sparked fears that escalation of the Middle East battle could disrupt world crude supplies. The Saudi military operation against the Iran-backed Houthi rebels, who have driven Yemen's president from the capital Sanaa, has not affected oil facilities of major Gulf producers. Some analysts said the chance of an all-out proxy war between the Saudis and Iran looked remote. "You don't want to be short oil when there are stories about bombings next door to Saudi Arabia, even if it's the Saudis who are leading the charge," said Joseph Posillico, senior vice president of energy futures at Jefferies in New York.

via Business News http://ift.tt/1Gph3Br