Oil prices surged higher after drone attacks shut Saudi Arabia's East-West pipeline. The move arrived on the back of an attack on energy infrastructure. Diesel prices hit a fresh record. That result put more pressure on the broader energy market. Supply fears from the Middle East continue to lift prices across the sector. A Houthi advance has placed key oil shipping routes under pressure. This development is raising worries about global supply lines. Traders are assessing the fallout now. Despite these concerns, the Australian stock market (ASX) has defied immediate impacts from higher oil and rate hike fears. The local bourse held firm even as energy costs climbed. Investors are watching the next moves in crude prices. The oil market may remain unstable while Middle East risks persist. Another large price swing is still on the cards. Energy markets are staying jittery after the latest escalation.