Houthi Strikes Spark Global Energy Concerns
The escalating conflict between Houthi forces and Saudi Arabia has injected new uncertainty into the Iran war, according to reports. The White House announced that it is open to a deal with Tehran, but Gulf Arab states have postponed scheduled negotiations following fresh Houthi strikes.
Houthi forces have taken control of several key locations in Yemen, including the port city of Mokha and the islands of Perim, Greater Hanish, Lesser Hanish, and Zuqar. The rebels also launched dozens of missiles and drones at a military airbase in southern Saudi Arabia, causing oil prices to jump.
The conflict has raised concerns about global energy supplies, with Brent crude hitting a nearly four-month high at $108 per barrel. If the critical East-West pipeline remains shuttered, Saudi exports could be significantly curtailed, putting additional strain on an already overtaxed market.