Saudi pipeline attack and Red Sea shipping threat push oil higher
Oil and gas prices are climbing as attacks squeeze Saudi Arabia's export routes, bad news for drivers and anyone buying shipped goods.
- A drone strike knocked out a key Saudi pipeline, and repairs could take weeks despite official claims it will be fixed soon.
- Iran-backed Houthis are tightening their grip on the Bab al-Mandeb strait while Hormuz stays blocked, putting a chokehold on both sides of Saudi oil exports.
- Ships that can't use the Red Sea must sail around Africa, a longer and pricier route that raises costs on everything.
- Trump turned down a Saudi request to hit the Houthis, saying it isn't America's fight, though pressure to step in is building.
- Chinese-made missile debris turned up in Yemen, hinting Beijing is quietly letting weapons parts reach the Houthis.
Outlook: Expect oil to stay high and volatile, with Brent possibly pushing toward $110 unless the shipping routes reopen.