Saudi Officials Deny Reports Of Pipeline Explosion• Simone Foxman
Earlier, Zero Hedge cited reports that a Saudi oil pipeline had exploded—both from Iranian Press TV as well as a blog titled The Arab Digest.
Immediately following Zero Hedge's report, the price of oil shot upwards, hitting $110 per barrel momentarily. That's the highest price of crude since May 4, 2011.
We think the reason that this headline had such an impact on markets is because the report that's generally being cited—that from The Arab Digest—suggests that the explosion is related to the Arab Spring protests: