Red Sea Tensions Escalate, Disrupting Global Trade and Oil Prices

Freight companies suspend shipments, reroute goods as Houthi attacks persist despite multinational efforts to safeguard commerce.

Oil prices are on the rise due to attacks on ships in the Red Sea, causing global trade disruptions through the Suez Canal, which handles about 12% of worldwide trade.
Many freight companies, including BP, have suspended shipments through the Red Sea/Suez Canal corridor, rerouting goods and commodities around the Cape of Africa, adding thousands of miles and up to two weeks in delays for shipments.
Despite the increased presence of international naval warships in the area, Houthi rebels continue to carry out attacks in support of Palestinians, threatening cargo vessels sailing through the Red Sea if they are heading for Israeli ports.
The U.S. has launched a multinational operation to safeguard commerce in the Red Sea, but shipping companies have expressed confusion over what the group is actually doing to protect ships.
Angola's decision to leave OPEC has raised questions over the group's effectiveness in supporting prices, as the Saudi-led producer group has been rallying support to deepen output cuts and boost oil prices.