Houthi Attacks Intensify Pressure on Saudi Oil Exports

Saudi Arabia's oil exports are under pressure due to escalating attacks by Houthi forces and concerns over disruptions in the Strait of Hormuz. The Iran-aligned group launched a fresh wave of attacks on Saudi Arabia on Monday, targeting a military airbase in Khamis Mushait with dozens of missiles and drones.

The Houthis claimed the attacks were retaliation for Saudi airstrikes in Yemen, while Riyadh blamed Iranian-backed militias in Iraq for an aerial attack that forced the shutdown of its East-West pipeline. The pipeline, which transports crude from the Gulf to the Red Sea, has been shut down since Thursday.

Oil prices rose over 4% on Monday before settling around 1% higher, reflecting growing concerns over disruptions to regional supplies. Traders estimate that a prolonged shutdown of the pipeline could affect up to 4% of global oil supplies.