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ABOARD AIR FORCE ONE/WASHINGTON/NEW DELHI (Reuters): The United States launched new strikes against Houthi anti-ship missiles aimed at the Red Sea on Thursday (Jan 18), as growing tensions in the region's sea lanes disrupted global trade and raised fears of supply bottlenecks that could reignite inflation.
Escalating tensions in the Red Sea have caused disruptions in global trade, leading to concerns about potential supply constraints and a revival of inflation.
The Red Sea has been the centre of military escalation in the last few weeks with fears of the Israel-Hamas war spreading to neighbouring nations. Yemen's Iran-backed Houthi rebels have targetted commercial vessels in the Red Sea using missiles, drones and helicopters. They claim that the ships they are targeting are linked to Israel, but the major impact of this ongoing crisis has been on global trade as vessels are now avoiding this crucial route.