Brent crude falls below $115 a barrel on Monday, October 26, during the Asian morning session, down about 1.82% from Friday’s close, according to a Reuters dispatch relayed by Investing.com. The drop follows a fresh wave of Houthi strikes against Saudi installations over the weekend, and comes a day before the Federal Reserve opens its FOMC meeting.
Primary source cited in this article: Reuters dispatch relayed by Investing.com, accessed October 26, 2026.
Monday morning’s oil price drop
According to the Reuters dispatch relayed by Investing.com, Brent futures fell by $2.12, or 1.82%, to $114.60 a barrel on Monday morning. US crude WTI followed the same trend, down $2.14, or 2.07%, to $101.13 a barrel at around 2:32 a.m. GMT.
This move follows a week of sharp gains: prices had climbed nearly $3 on Friday amid the first concerns linked to the Houthi attacks in Saudi Arabia, according to the same source.
| Date | Indicator | Value | Change |
|---|---|---|---|
| October 26, around 2:32 a.m. GMT | Brent | $114.60 | -1.82% |
| October 26, around 2:32 a.m. GMT | WTI | $101.13 | -2.07% |
The weekend Houthi strikes on Saudi Arabia
On Saturday, October 24, Houthi military spokesman Yahya Saree claimed strikes against Riyad’s King Khalid International Airport, Dammam’s King Fahd International Airport, an airport in Najran, and an air base in Khamis Mushait, according to remarks reported by ABC News. The spokesman also claimed that an Aramco facility in Yanbu, the Rabigh refinery, crude pumping stations, and the East-West pipeline had been targeted.
The attacks thus continued over two consecutive days, sustaining concerns about the region’s energy supply that had already driven prices higher on Friday.
An emergency exchange from the US strategic reserve
On Friday, October 23, the US Department of Energy announced the authorization of an emergency exchange of up to 400,000 barrels of crude drawn from the Strategic Petroleum Reserve (SPR), to address a supply disruption affecting the Phillips 66 refinery in Lake Charles, Louisiana, according to the official DOE statement.
Under the terms of this exchange, all borrowed barrels must be returned with additional barrels as a premium, which replenishes and strengthens the reserve at no additional cost to taxpayers, the DOE states. The barrels are drawn from the West Hackberry site and are intended for immediate delivery, according to the same statement.
Wall Street closes the week lower
On Friday, October 23, US indices finished lower: the Dow Jones Industrial Average lost 652.82 points, or 1.23%, to close at 52,215.16; the S&P 500 shed 39.75 points, or 0.52%, to 7,623.68; and the Nasdaq Composite fell 53.52 points, or 0.21%, to 25,955.34, according to Reuters.
This close comes a day before the opening of the Federal Open Market Committee (FOMC) meeting, which runs over two days, October 27 and 28, with a press conference scheduled for October 28 at 2:30 p.m. Washington time, according to the official calendar published by the Federal Reserve. This event is distinct from the prices already observed this Monday morning: no monetary policy decision has yet been published as of this article.
Frequently asked questions
Why does Brent fall when tensions in Saudi Arabia are continuing?
Prices had already risen sharply on Friday, with Brent ending the week up 6%, following the first concerns linked to the Houthi strikes. Monday’s pullback reflects an adjustment after that rally, as markets reassess the actual scale of the supply disruption.
What is the US Strategic Petroleum Reserve?
It is a crude oil stockpile managed by the US Department of Energy, usable in particular in the event of a supply disruption. The exchange authorized on Friday for the Phillips 66 refinery in Lake Charles provides for the borrowed barrels to be returned with a premium, at no cost to taxpayers, according to the DOE.
What will the Fed decide at its October 27 to 28 FOMC meeting?
The FOMC meeting runs over two days and will conclude with a press conference on October 28 at 2:30 p.m. Washington time, according to the Federal Reserve’s official calendar. No figure or guidance has been communicated by the institution ahead of this event, as of the date of this article.
Did the Houthi strikes target only oil installations?
No. According to the Houthi military spokesman cited by ABC News, the targets claimed on Saturday included several Saudi airports, including those in Riyad and Dammam, as well as an air base, in addition to oil installations such as the Rabigh refinery and the East-West pipeline.
For more context on this escalation, see our roundup on new US sanctions on Iran-linked shipping and the drop in crude stocks, as well as the October 25 briefing on Wall Street’s close and Brent at $116.72 and the October 24 briefing on Brent topping $116.