Red Sea Attacks Continue to Disrupt Global Trade

The U.S. military carried out a new strike in Yemen on Tuesday against anti-ship ballistic missiles in a Houthi-controlled part of the country as a missile struck a Greek-owned vessel in the Red Sea.

Disruptions to Red Sea shipping caused by Houthi attacks will push up prices of consumer goods in Europe in particular, an executive from port and freight operator DP World said as the impact on commerce increased.

The Iran-allied Houthi militia has threatened to expand its attacks to include U.S. ships in response to American and British strikes on its sites in Yemen.

Attacks by the Houthis on ships in the region since November have affected companies and alarmed major powers – an escalation of Israel’s more than three-month-old war with Palestinian Hamas militants in Gaza. The Houthis say they are acting in solidarity with Palestinians.

The White House said additional U.S. strikes on Tuesday took out ballistic missiles Houthis were ready to launch, confirming a Reuters story earlier, citing U.S. officials, that a new strike was launched at four anti-ship missiles. The strike had not been previously reported.

“We’re not looking to expand this. The Houthis have a choice to make and they still have time to make the right choice, which is to stop these reckless attacks,” White House spokesperson John Kirby said.

France chose not take part in the U.S.-led strikes because it wants to avoid a regional escalation, President Emmanuel Macron told a news conference. The country has a “defensive” approach in the Red Sea and would stick to this stance, Macron said.

Two heads of international banking groups attending the World Economic Forum (WEF) in Davos said privately that they were worried the crisis might cause inflationary pressures which could ultimately delay or reverse interest rate cuts and jeopardize hopes for a U.S. economic soft landing.



Idrees Ali and Dmitry Zhdannikov. (Jan 16, 2024) Red Sea Attacks Continue to Disrupt Global Trade

Deja un comentario

Tu dirección de correo electrónico no será publicada. Los campos obligatorios están marcados con *

Join Our Community! It´s Free

    Call now