Commodities
Middle East Tensions Fuel Oil Price Surge as Global Conflict Escalates
Global oil prices have surged by $24.50 per barrel over the past ten days due to escalating military actions in the Middle East, particularly between Iran and Saudi Arabia.
The Houthi rebels, based in Yemen, have entered the conflict, capturing the port city of Mokha and the island of Perim, which is strategically located near the Bab el-Mandab Strait. This strait serves as a crucial shipping route for oil exports from the Middle East to Asia.
The US Navy has also been involved in the conflict, hitting three Iranian oil tankers attempting to pass through the Strait of Hormuz. In response, Iran has struck two vessels near Oman.