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FinanceFortune3h ago

Saudi Arabia’s nightmare scenario comes true as Houthis threaten crucial Red Sea shipping route and drone attacks force closure of major pipeline

For decades, Saudi Arabia and other Gulf states have relied on U.S. security guarantees. Those have eroded under Trump.

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AI SUMMARY

# Summary Houthi drone attacks have forced the closure of a major Saudi pipeline and threatened Red Sea shipping routes, exposing vulnerabilities in Gulf energy infrastructure that could disrupt global oil supplies and increase energy prices. The erosion of U.S. security commitments under the Trump administration has left Saudi Arabia and other Gulf states facing geopolitical risks without traditional military backing, potentially destabilizing one of the world's most critical energy-producing regions and affecting oil-dependent equities and energy sector valuations.

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