Houthis claim attacks on Riyadh, key Saudi oil hub amid pipeline tensions

Yemen’s Houthi movement has announced new attacks on significant targets in Riyadh and a key Saudi oil export hub, according to Reuters. These developments come amid ongoing tensions in the region, particularly involving Saudi Arabia’s oil infrastructure, including the major East-West Pipeline and the Red Sea port of Yanbu. Previous Houthi attacks have already led to disruptions in crude loadings, with the potential for further delays as Saudi Arabia assesses the damage and security concerns. The recent claims have caused noticeable shifts in market sentiment regarding the timeline for the restart of the East-West Pipeline. Key Takeaways Activity suggests a decreased likelihood of the East-West Pipeline restarting by September 30, with current probabilities at 33.5% for a restart by that date. The latest Houthi claims appear to have impacted confidence, as indicated by a drop in YES probabilities for the pipeline’s September and October restart scenarios. The market’s response is consistent with increased uncertainty about the security and operational status of Saudi oil infrastructure following the reported attacks. What to Watch Markets will be closely monitoring any official ann...