After Iranian security forces blocked the Strait of Hormuz, Houthi guerrillas are attacking the ‘Bab al-Mandeb’ strait in the Red Sea, which is used as an alternative shipping route by several oil-exporting countries, led by Saudi Arabia.
The Iranian-backed Houthi rebels have now blocked the shipping lane and have recently intensified their attacks on Saudi ships. As a result of these attacks, the price of crude oil in the world market is rising rapidly again.
According to foreign media reports, with this sudden offensive situation, the price of a barrel of crude oil in the world market has now reached close to US$100.
Accordingly, as of yesterday afternoon, Brent crude oil has increased by 5% to $98.55 per barrel.
Similarly, Texas (WTI) crude oil has increased by 5% to $90.37 per barrel.