Saudi port city and industrial hub on the Red Sea
The Iran‑aligned Houthis have seized Yemen’s Red Sea coast and key islands in the Bab al‑Mandeb strait this week, including Mocha, Mayyun (Perim) and the Hanish islands, after government forces withdrew. Saudi and Yemeni government forces have launched air strikes in response. The offensive has killed hundreds, displaced tens of thousands and pushed oil prices above $100 a barrel.
Analysts say Saudi Arabia's East-West pipeline remains out of service after drone strikes blamed on Iranian-backed militias. Repairs could take weeks, tightening Middle East oil flows and pushing Brent above $105 a barrel as Houthis widen disruption along Bab el‑Mandeb and Hormuz.
Saudi Arabia has resumed Gulf crude loadings and appears to be clearing a pre-war backlog, with several tankers exiting the Strait of Hormuz as tensions with the US and Iran simmer. Aramco is ramping up exports to Asia, and market pricing is shifting as shipments resume from Ras Tanura.
Vessel transits through the Strait of Hormuz have picked up, with traffic slowly returning after a recent slowdown tied to US-Iran exchanges of strikes. Iran and Oman are managing separate corridors, while the wider tension between Washington and Tehran remains, and the pre-war level of navigation has not yet returned.
Oil prices have fallen back as flows resume through the Strait of Hormuz, with Brent near pre-war levels and traders citing improved supply and easing demand concerns amid China’s reduced imports. Markets warn the rally could resume if security holds and demand rebounds.
Yemen's Houthi movement has declared an immediate maritime embargo against Saudi Arabia, saying it will close the Bab al‑Mandab to Saudi vessels in retaliation for a reported Saudi blockade of Houthi ports and last week's strikes on Sanaa airport. The announcement has raised fears of renewed attacks on Red Sea shipping and wider disruption to oil routes that already bypass the Strait of Hormuz.
The United Arab Emirates is pursuing a new port and container terminal on Fujairah’s east coast to reduce dependence on Jebel Ali and avoid the Strait of Hormuz. DP World is in talks to develop the site, with plans for a new multipurpose port and a terminal at the existing harbour, amid ongoing clashes linked to Iran’s attacks and U.S. and Israeli actions. Experts say the move signals a push for regional resilience as shipping routes face disruption.
Yemen’s Houthis have escalated tensions by declaring a maritime blockade against Saudi Arabia in response to attacks on Sanaa airport. The move follows recent strikes and missile exchanges with Saudi forces, risking a broader regional confrontation that could disrupt global oil flows via the Bab al-Mandeb Strait.
The Islamic Republic has discussed a possible move with its Houthi allies, and Tehran has informed the group recently. The Houthis are said to be prepared to act near Bab al-Mandeb, risking disruptions to Red Sea shipping and adding pressure to global energy markets as tensions with the United States escalate.
Drones and missiles target Saudi energy infrastructure amid a broader surge in US-Iran hostilities. Riyadh says the attacks were launched from Iraqi territory by Iran-backed militias; Iraqi authorities condemn the strikes while Yemen’s Houthis claim to have attacked Saudi shipping. The lull in fighting is punctuated by new strikes across the region as mediators push for talks.
Oil prices have risen this week after U.S. officials narrowed a waiver to the Jones Act for energy shipments and data showed U.S. crude stocks have fallen to multi-decade lows. Traders are parsing mixed statements from Washington and Tehran about talks to reopen the Strait of Hormuz while reparations demands have emerged, keeping markets volatile on 11 Aug 2026.
The Iran-aligned Houthis have declared an immediate maritime embargo against Saudi ships at Bab el-Mandeb, citing what they call an oppressive siege on Yemen. The move threatens Red Sea navigation and Saudi oil exports, as ships reroute and insurers weigh risks. The threat comes amid rising regional tensions and recent attacks along major shipping routes.
Netanyahu has met with Trump at the White House for discussions on Iran’s nuclear ambitions amid ongoing US-Israeli hostilities. Talks aim to coordinate strategy on Iran, with emphasis on preventing nuclear development and managing wider regional tensions. The week features high-stakes diplomacy and looming electoral tests in both countries.
The Houthis have declared a maritime blockade of Saudi Arabia, drawing new attacks and causing vessels to reroute through the Red Sea. Oil prices are rising as ships alter course to avoid Bab el-Mandeb and Hormuz chokepoints, with implications for global trade.
The conflict between Iran and its regional rivals has intensified. Iran-backed forces have attacked shipping, while the United States and allies respond with strikes and warnings. The Strait of Hormuz remains a flashpoint as Qatar and Gulf states report disruptions alongside rising global energy concerns.
Brent crude has fallen about 8–9% to below $88–$92 a barrel after prices briefly topped $100 last week. The drop follows pauses in US–Iran strikes and reports that both sides have halted attacks to allow diplomacy. Markets remain volatile because shipping through the Strait of Hormuz and the Red Sea is still disrupted and analysts warn supply risks and inflationary pressure persist.
Houthi forces have claimed missile, drone and cruise-missile strikes on two Saudi oil tankers, Encelia and Layla, in the Red Sea and have declared a naval blockade of Saudi ports. The attack has caused a fire aboard one tanker, forced several ships to turn back and driven marine insurance and oil prices higher while US strikes on Iranian targets continue.
The Gulf states are accelerating pipeline projects to bypass Hormuz as Iran blocks the Strait, while existing routes face strain. Several major lines are nearing completion, with Fujairah and Yanbu expanding capacity; Iraq and Turkey explore alternative export routes. Analysts warn the shift could alter global oil flows and prices.
Saudi Arabia launches a defensive, coalition-led effort to secure Red Sea shipping routes as Houthi attacks and US-Iran tensions threaten freedom of navigation. The alliance aims to coordinate intelligence, exercises, and joint operations across signatories, with a focus on protecting vital energy corridors and maritime trade.
The conflict in the Middle East is intensifying as Yemen's Houthi rebels claim missile strikes on Saudi targets, prompting responses from Saudi-led forces and US officials. Washington is weighing strikes on Iran as the region sees a widening front, with naval blockades and interceptions shaping an increasingly volatile Red Sea corridor.
The United States has paused nightly airstrikes on Iran and Tehran has halted retaliatory attacks for at least two days while mediators from Qatar, Pakistan and Oman exchange messages. Advisers warned President Donald Trump that continued strikes risked depleting munitions and running out of targets; oil prices have fallen as markets price the lull.
The Houthis have declared a maritime blockade against Saudi Arabia, citing an eye-for-an-eye logic after Sanaa airport was attacked. The move threatens Red Sea shipping, while tensions draw in the US and Iran amid broader regional pivot in energy routes. Analysts warn of renewed conflict and humanitarian risk as oil flows face disruption.
Tensions in the Red Sea have intensified as Houthis escalate maritime attacks and a blockade against Saudi-linked shipping. Attacks target vessels, widen regional confrontation, and threaten global energy routes amid ongoing US-Iran tensions.
Tensions between the Yemeni government and Houthi rebels have intensified, with the Houthis threatening a maritime blockade and both sides exchanging fire near Hodeidah. Afrah al-Zouba has warned the Houthis may copy Iranian strategies in Hormuz to control Red Sea access, raising the risk to global shipping.
The Iran-aligned Houthis have declared a maritime embargo against Saudi Arabia, with talks of charging fees for traffic through Bab el-Mandeb. Chinese ships would be exempt. International navies face stretched capacity as Gulf trade risks grow.
A drone has struck two gas vessels at Egypt's Damietta port, igniting fires that spread between the US‑owned floating storage and regasification unit Energos Winter and the Greek‑owned LNG tanker GasLog Salem. Crews have extinguished the blazes, no casualties have been reported, and Egyptian authorities have opened a forensic investigation amid rising regional attacks on energy infrastructure.
The US has completed a two-hour "heavy wave" of strikes across Iran, hitting Revolutionary Guard command centres, missile and drone facilities and coastal surveillance sites after Tehran fired ballistic missiles at US forces. Iran has launched retaliatory drone and missile strikes on US assets and allied facilities in the region; Jordan reported intercepting missiles with no casualties.
The coalition to protect Red Sea shipping is expanding as Saudi Arabia leads talks with dozens of countries. Britain has not yet joined the coalition but is weighing its response while warning of threats to maritime navigation.
Global stocks have rallied this month after officials reported progress in talks to reopen the Strait of Hormuz, and a string of strong corporate earnings has bolstered investor sentiment. Treasuries and oil prices have fallen as traders pare back expectations for near-term Fed hikes; strategists warn valuations and one-off earnings boosts limit further upside.
Oil majors have posted strong quarterly profits amid continued volatility from the Iran-U.S. conflict and the Hormuz Strait. Aramco and European peers report multi-billion results, while policymakers and markets watch for potential windfall taxes and supply routes.
Kurdistan authorities have reported Iranian-launched drones struck the private office of KRG Prime Minister Masrour Barzani and the residence of the region's security agency chief on 17 August, with no casualties. The attacks come as Baghdad presses for a September 30 deadline to bring armed factions under state control and as cross-border strikes and US-Saudi operations have raised tensions across Iraq.
Houthis have launched repeated drone, missile and naval strikes that have damaged Yemen’s Mocha port, killed dozens and forced the port’s suspension. The group has claimed a drone hit on Saudi Aramco’s Jazan refinery and renewed attacks on shipping in the Red Sea and Bab al‑Mandeb, while Yemeni government forces have mounted counter‑attacks across multiple fronts.
The Strait of Hormuz remains a flashpoint as Iran resumes attacks and the U.S. reinstates port blockades following a breakdown in a mid-June truce. Gulf exporters are racing to diversify routes to Asia and beyond, while the UAE and Saudi pipelines accelerate capacity to bypass the chokepoint.
A new wave of Houthi strikes targets Yemeni government sites and Red Sea shipping, raising fears of a broader return to civil conflict. The attacks follow a series of cross-border strikes and a blockade threat that has intensified regional security concerns.
Houthi attacks on Yemen’s Red Sea coast have intensified, striking Mocha and al-Makha ports as government forces and militants trade strikes across Marib, Taiz and the western coast. The violence threatens shipping lanes, raises regional tensions, and risks drawing in regional powers as talks for a ceasefire stall.
The Houthis have captured Mokha and Mayun (Perim), extending their reach near a key shipping lane. The developments threaten flows through the Bab el-Mandeb Strait, a chokepoint for global oil and cargo, while Saudi exports remain stressed by past disruptions and shifting routes. Authorities note ongoing tensions and potential further escalation.
Houthis have advanced along Yemen’s coast, reaching Perim in the Bab el-Mandeb strait, threatening a critical route that feeds global oil shipments and Straits of Hormuz alternatives. The move widens Iran’s leverage as the U.S. weighs limited intervention while regional partners take the lead.
Saudi Arabia’s East-West pipeline remains shut after drone attacks, forcing producers to reroute supply and boosting crude prices. Authorities say the closure is precautionary as regional tensions rise, with repairs expected to take weeks.
Leaders have met to reaffirm maritime security amid the Houthis’ advances in Yemen, threatening Red Sea shipping and Egyptian revenues from the Suez Canal. The talks underscore a growing regional effort to stabilize navigation through Bab al-Mandeb and the Red Sea while assessing potential steps.