"Red Sea Houthi Attacks Threaten Global Shipping and Consumer Prices"

Despite attacks by Iran-aligned Houthi militants, oil and fuel tanker traffic in the Red Sea remained stable in December, with shippers continuing to use the key East-West passage. While the attacks have driven up shipping costs and insurance premiums, they have had less impact than feared on oil flows. Some oil companies like BP and Equinor have diverted cargoes to the longer route, and increased shipping costs are likely to boost exports of U.S. crude to some European buyers. The situation bears watching as tensions prompt more oil buyers to look to the U.S, and East-to-west disruptions have mainly impacted European imports of diesel and jet fuel.