The Iran-backed Houthi rebels in Yemen reportedly hit Saudi Arabia’s east/west pipeline with drones. President Trump did not strike the Houthi’s. Despite knowing oil prices would jump, President Trump told Saudi Crown Prince Mohammed bin Salmon to approach the issue carefully.
Reuters, citing an Axios report based on two US officials, said Crown Prince Mohammed bin Salman called Trump twice on Thursday and pressed for military action. Trump rejected the request, according to the report.
Why would President Trump ‘not’ strike back against the Iran-backed Houthi rebels, knowing the drone attack on the Saudi pipeline would only worsen the oil issue? Well, you won’t read this anywhere else…. However, if Saudi Arabia shut down the east/west pipeline for a while (they just did), then the oil flowing to the Red Sea that ends up in Europe would be halted (it just was).
Think about it. All of a sudden Europe cannot get oil from Mohammed bin Salmon. So, how does that change the dynamic of President Trump’s desired leverage toward Europe in his approach to bringing Russian oil back into the market.
I hope everyone can see the dynamic. All of a sudden that Russian oil Europe hates so much, turns into dependency leverage against EU antagonisms against solving the Ukraine-Russia conflict. This is not happening accidentally.
Oil Price News – Saudi Aramco has canceled or delayed crude deliveries to European refiners after the shutdown of the kingdom’s East-West pipeline cut into one of its remaining routes around the Strait of Hormuz.
At least three European refiners have had late-September cargoes canceled or pushed as far out as November, according to market sources cited by Argus. Two more expect notices covering September supplies.






