Houthi Threats Give Oil Markets a ‘Two Chokepoint Problem’

By Weilun Soon, Grant Smith, Nicholas Lua, Julian Lee and Alex Longley (Bloomberg) — Ships continue to turn away from the southern end of the Red Sea, after Yemen’s Iran-backed Houthi rebels announced an embargo on Saudi exports through the Bab el-Mandeb Strait, a narrow channel that has become a lifeline for oil exports since the beginning of the US-Israeli war with Iran.

Tracking data shows two Asia-bound vessels appear to be heading north toward the Suez Canal — a diversion that could add 30 days of sailing time in some cases — while others have paused their journeys.