Houthis Launch Missile at Israel, Escalating Middle East Conflict & Oil Prices
Yemen’s Houthi rebels launched a missile attack on Israel Saturday, marking their first direct intervention in the conflict that began with U.S. And Israeli strikes against Iran on February 28. The Houthis claimed the barrage of ballistic missiles targeted “sensitive Israeli military sites,” according to a post on X by spokesperson Yahya Saree.
The Israel Defense Forces confirmed detecting the launch of a missile from Yemen, stating its aerial defense systems intercepted the threat. The attack coincided with ongoing operations by Iran and Hezbollah in Lebanon, the Houthi spokesperson added.
The move by the Houthis escalates the regional conflict and raises concerns about potential disruption to vital shipping lanes. Global shipping and oil markets are already strained after Iran effectively closed the Strait of Hormuz, prompting the International Energy Agency to describe the situation as the worst disruption in the history of the oil market, according to NBC News.
The Red Sea, a critical artery for global trade, is also vulnerable. Danish shipping giant Maersk reported a security incident at the Port of Salalah in Oman Saturday, with a terminal crane sustaining damage and a port worker suffering minor injuries. Maersk had already paused future trans-Suez sailings through the Bab el-Mandeb Strait earlier in March due to the escalating tensions. The Bab el-Mandeb Strait accounts for approximately 12% of seaborne oil trade and 8% of liquefied natural gas trade, according to the U.S. Energy Information Administration.
Oil prices surged Friday, with U.S. Crude oil closing up 5.46% at $99.64 per barrel and international benchmark Brent crude gaining 4.22% to settle at $112.57. The price increases followed President Trump’s announcement of a 10-day extension for negotiations with Iran, a move that failed to alleviate market anxieties about supply disruptions.
The escalation comes amid reports of U.S. Troop casualties. More than two dozen U.S. Troops have been wounded in Iranian attacks on Saudi Arabia’s Prince Sultan Air Base in the past week, according to the Associated Press. At least 15 troops were injured Friday alone, with five reported to be seriously wounded. The base has been targeted in multiple attacks this week.
As diplomatic efforts continue, Pakistan announced that Saudi Arabia, Turkey, and Egypt will send their top diplomats to Islamabad for talks aimed at de-escalating the conflict. Pakistan’s Prime Minister Shehbaz Sharif held discussions with Iranian President Masoud Pezeshkian on regional hostilities and potential avenues for ending the war. Though, Iranian Foreign Minister Abbas Araghchi expressed skepticism about recent diplomatic efforts, accusing the U.S. Of making “unreasonable demands” and engaging in “contradictory actions.”
Israel has focused recent attacks on sites within Iran where ballistic missiles and other weapons are produced, including the Shahid Khondab Heavy Water Complex in Arak and the Ardakan yellowcake production plant in Yazd Province. Iranian authorities reported no casualties or risk of contamination from the strikes. The Israeli military stated the strikes were a significant blow to Iran’s nuclear program.
Iran has agreed to allow humanitarian aid and agricultural shipments through the Strait of Hormuz following a request from the United Nations, according to Ali Bahreini, the country’s ambassador to the U.N. In Geneva. This move addresses concerns about potential disruptions to food security due to restrictions on fertilizer ingredients, and trade.