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Oil futures rose amid market pessimism about flows out of the Middle East following the outage of a key Saudi pipeline and the increased Houthi threat to Red Sea shipping.

Francisco Blanch, commodities and derivatives research head at BofA Securities, says Brent oil prices could climb as high as $150 a barrel if critical infrastructure, like Saudi Arabia's East-West pipeline, "is hit on a more permanent basis." Blanch speaks on Bloomberg Television.

WTI and Brent remain supported as escalating geopolitical risks keep supply disruption fears elevated.

Brent crude futures rose to $107.59—but remained below Monday's intraday high—as the shutdown of Saudi Arabia's East-West Pipeline and recent Houthi territorial gains kept supply concerns elevated.

Oil and 10-year Treasury yields are moving in near lockstep, with their correlation at its strongest since 2019. Higher oil could drive inflation and Treasury yields higher, tightening financial conditions and pressuring stocks and consumers.