Houthis Seize Mocha, Threaten Key Crude Oil Chokepoint

Houthi forces, aligned with Iran, have taken control of the Red Sea port city of Mocha in Yemen. This development sent crude oil prices above $100 per barrel as it poses a threat to another key chokepoint on major shipping routes.

The Bab el-Mandeb Strait is now under threat from Houthi forces, who have also reached the strategic Hanish Islands. Control of Dhubab and Perim islands would allow them to block passage through the strait, which carries 8.1 million barrels per day of crude oil.

The crude oil price has risen sharply due to the increased risk of disruption at Bab el-Mandeb, with West Texas Intermediate trading at $100.90 a barrel and Brent at $105.71. However, prices have eased slightly on the day as the market adjusts to the new threat.