Saudi Nightmare: Houthis Seize Red Sea As Pipeline Burns

The Houthis control Yemen's entire Red Sea coast and all islands, with the ability to close the southern exit whenever they wish. Claims of a counterattack by anti-Houthi factions have collapsed because the evidence was fabricated.

The East West pipeline damage is significant and requires time to repair, halting oil exports through that route. Saudi Arabia confirmed the pipeline is closed, meaning it cannot export oil at the moment.

Saudi Arabia faces its greatest crisis since the 1920s because it cannot export oil through the Strait of Hormuz or the Red Sea.

The Saudi government's stability relies on money flow, and with reserves not especially deep, a stopped flow is potentially existential.

Israeli Defense Minister Katz is talking about attacking Iranian energy facilities and desalination plants. Iranians have indicated they will retaliate by attacking similar energy and desalination facilities across the Middle East.

If Israelis attack Iranian desalination plants and Iranians retaliate against Saudi, Gulf, and Israeli plants, it would be a catastrophe of unimaginable proportions.

MBS made a panicked call to Trump asking for U.S. strikes on the Houthis.

Trump claims the Houthis contacted him to stay out of the conflict, but Alexander doubts that happened. Trump's ambivalent, neutral response and rhetoric about Houthi contact must be infuriating to MBS.

U.S. and Western oil reserves are steadily depleted, with debate over whether they have passed a danger point. Europe faces big natural gas shortages, with reserves very low for this period of the year.

The Trump administration is delaying a massive military operation against Iran until after the November midterms to avoid galvanizing opposition. The U.S. is effectively telling MBS to hold out for two months before the big war against Iran begins.

A belief is building within the Trump White House to go all out to break Iran with massive missile bombing raids after the midterms.

This is a massive gamble that could lead to a geopolitical catastrophe if it fails, comparable to historical blunders like Germany in 1914.

A real serious deal with Iran is impossible due to strong political opposition from multiple U.S. factions and Trump himself. The Iranian hardline faction understands a deal is impossible, leaving the U.S. with no choice but to go for broke.

Washington worries BRICS might supply help to Iran, undermining the policy of economic strangulation.

Russia already supplies help, and China or India might start, meaning economic pressure will never cause regime change in Tehran.