Oil and Shipping Disruptions in Red Sea Raise Fears of Higher Prices
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Brent crude prices have spiked to $79.35/bbl due to attacks on ships in the Red Sea, leading to rerouting and supply chain concerns.
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Major shippers like Maersk and BP have paused shipments through the Red Sea, raising worries about global oil supply and costs.
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Rerouting ships around Africa could raise shipping costs and consumer prices for goods and oil due to supply chain strains.
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An international coalition has initiated Operation Prosperity Guardian to address the security issues, but oil and supply chain impacts are still expected.
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Higher oil prices could mean increased prices at the pump for UK motorists in the coming weeks.