Brent Crude Hits $98 as Red Sea Attacks Disrupt Tanker Traffic

The volatility follows a direct strike on the Encelia and Layla, two vessels carrying crude to India and China. Houthi spokesman Yahya Saree claimed the attack enforced a naval blockade, prompting at least two tankers to abandon the route entirely. Saudi Arabia, which recently shifted over 70% of its exports to the Red Sea port of Yanbu, now faces significant logistical bottlenecks.

Energy markets have reacted sharply, with WTI Crude climbing to $89.57. Prices have jumped nearly 20% since the conflict re-escalated two weeks ago. Maya Westerlund of SEB bank noted that the shift from regional posturing to direct strikes on commercial tankers has fundamentally altered the risk profile for global crude flows, leaving traders to brace for further instability in the chokepoint.