Oil Prices Surge Amid Dual Shipping Threats in Hormuz and Red Sea
Oil prices have risen to near six-week highs due to escalating tensions in the Middle East, particularly involving the U.S. and Iran. The Iran-backed Houthi militia in Yemen has threatened to target vessels carrying Saudi oil in the Bab el-Mandeb Strait, adding to existing concerns over the Strait of Hormuz. This dual threat has led to increased oil prices, with Brent crude futures rising by 3.12% to $93.85 per barrel. The U.S. military has conducted consecutive nights of attacks in response to the situation, further heightening tensions. The Bab el-Mandeb Strait has become an increasingly important route for Saudi Arabian crude exports as traffic through the Strait of Hormuz has decreased. The situation has prompted some oil tankers to reroute through the Suez Canal, avoiding the Yemeni coast. 
