Houthi Attacks Spark Global Oil Price Surge as US-Iran Conflict Escalates
US President Donald Trump has warned Iran that it will be held accountable for any attacks by Yemen's Houthi rebels, after they struck two Saudi oil tankers in a naval blockade in the Red Sea. The Houthis' actions threaten to create a second chokepoint for global oil supplies alongside the Strait of Hormuz.
Two Chinese very large crude carriers, carrying a combined 4 million barrels of Saudi oil, are heading towards the Bab el-Mandeb Strait, which will test how tightly the Houthis enforce their blockade. Iran's Revolutionary Guards have declared the strait 'completely closed', warning no tanker would be allowed to enter or leave without Iranian coordination.
The US military has carried out a fresh round of strikes on Iran at Trump's direction, marking the 12th successive night of attacks and prompting further Iranian retaliation. Tehran said it targeted US missile systems, weapons depots, and bases in Jordan and Kuwait, as well as a military site near its only commercial nuclear reactor.
The conflict has claimed 18 US service members and over 450 injured, with Iran's health ministry reporting 53 civilians killed and 592 wounded since late last month. Global oil prices surged in one of the steepest rises of the war, breaking through $100 a barrel for the first time since May.