Houthi threats to block the Bab el-Mandeb Strait drive oil prices higher amid Middle East supply disruption fears.
Brent Crude climbed 3.75% to $94.42 per barrel after reports that Iran-aligned Houthis may attempt to close the Bab el-Mandeb Strait, a critical Red Sea chokepoint. The move threatens supply from Saudi Arabia’s Yanbu port, adding to regional tensions already pressuring oil markets.
WTI Crude rose 3.69% to $87.45, reflecting broader concerns over Middle East stability. The Strait of Hormuz, another key transit route, remains a flashpoint amid ongoing geopolitical risks. Prior sessions saw muted volatility, with prices stabilizing below recent highs.
Markets reacted swiftly to the escalation, with energy futures leading gains in early trading. Analysts warn further disruptions could tighten global supply chains.