Brent Crude traded as high at $71.38 per barrel, the highest level since Jan. 2020, while WTI Crude rose to $67.98 per barrel, a level not seen since Oct. 2018. However, oil ultimately retreated from those levels and finished the session lower. Brent shed $1.12, or 1.61%, to settle at $68.24 per barrel, while WTI settled $1.04, or 1.57%, lower at $65.05 per barrel.

Saudi Arabia’s ministry of energy said a petroleum tank farm at one of the world’s largest oil shipping ports was attacked by a drone and a ballistic missile targeted Saudi Aramco facilities, according to state news agency SPA. A spokesman said neither attack caused any injury or loss of life or property, but shrapnel from the intercepted missile fell near residential areas in the city of Dhahran, SPA reported. “Such acts of sabotage do not only target the Kingdom of Saudi Arabia, but also the security and stability of energy supplies to the world, and therefore, the global economy,” the ministry said via state media. “They affect the security of petroleum exports, freedom of world trade, and maritime traffic.” Yahya Sare’e, a spokesman for Yemen’s Houthis, said it carried out a “broad joint offensive operation” involving 14 drones and eight ballistic missiles.

John Driscoll, director at JTD Energy Services, told CNBC that the primary effect of the attacks is psychological. “They serve as a reminder that the Mideast is vulnerable and rife with tensions and rivalries that could overheat at any time,” he said in an email. However, he said the run up in prices could be short lived, noting that the Saudis said there was no significant damage to infrastructure. Driscoll also said the timing is “noteworthy,” given that the U.S. took military action against Iran and Iraq targets last week. “One senses [that] lines are being drawn in the sand,” he said.