Oil prices jumped sharply after drone attacks shut Saudi Arabia's East-West pipeline. The move arrived on the back of an attack on energy infrastructure. Diesel prices reached a new all-time high. That result added strain to the broader energy market. Supply fears from the Middle East are supporting the rally across the sector. A Houthi advance has placed key oil shipping routes under pressure. This development has heightened 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 remained steady even as energy costs climbed. Investors are focused on the next moves in crude prices. The oil market could stay volatile while Middle East risks persist. Another large price swing is still on the cards. Energy markets are still tense after the latest escalation.