[00:00] Lila Grant: Developing story, I'm Lila Grant, and Evelyn is tracking the latest on a major escalation in the Middle East.
[00:07] Lila Grant: The Iran-backed Houthi movement in Yemen has launched a barrage of ballistic missiles and drones against Israel.
[00:14] Lila Grant: This marks the first direct intervention by the group since the war between the United States, Israel, and Iran began on February 28th.
[00:23] Lila Grant: the Houthis confirmed they targeted sensitive Israeli military sites.
[00:27] Lila Grant: And while Israel reports intercepting two missiles,
[00:30] Lila Grant: the group vows to continue these attacks until operations against their allies,
[00:34] Lila Grant: including Hezbollah and Hamas, come to an end.
[00:37] Lila Grant: This isn't just a military shift.
[00:39] Lila Grant: It's a massive threat to the global economy.
[00:41] Lila Grant: The Houthis control the Red Sea coastline in Yemen,
[00:44] Lila Grant: which means they can effectively squeeze the Bab al-Mandag straight.
[00:48] Lila Grant: We saw this between 2023 and early 2025,
[00:52] Lila Grant: when they launched nearly 200 attacks on ships,
[00:55] Lila Grant: forcing vessels to avoid the Suez Canal
[00:57] Lila Grant: and take the long route around southern Africa.
[01:00] Lila Grant: With 15% of global trade moving through that corridor,
[01:04] Lila Grant: another shutdown would be devastating.
[01:07] Lila Grant: Lila, this comes at a moment of extreme tension regarding energy security.
[01:11] Lila Grant: President Donald Trump has currently paused a threatened attack on Iranian power plants,
[01:16] Lila Grant: giving Tehran until April 6th to reopen the Strait of Hormuz.
[01:21] Lila Grant: That waterway carries 20% of the world's oil and liquefied natural gas.
[01:26] Lila Grant: Since it's been closed, oil prices have skyrocketed,
[01:30] Lila Grant: and there's a real fear that a prolonged blockage,
[01:32] Lila Grant: now combined with healthy activity in the Red Sea,
[01:35] Lila Grant: could lead to a severe global economic contraction.
[01:39] Lila Grant: Saudi Arabia is already trying to adapt by diverting oil through a pipeline to its Red Sea coast.
[01:45] Lila Grant: But even those shipments have to sail south past Yemen to reach Asian markets.
[01:50] Lila Grant: The Houthis have described themselves as a key part of the axis of resistance,
[01:54] Lila Grant: and their spokesperson said their hands are on the trigger for direct military intervention.
[02:00] Lila Grant: Meanwhile, Tehran continues to deny that they are involved in talks with United States
[02:05] Lila Grant: to end the war despite the looming April deadline.
[02:08] Lila Grant: The situation remains fluid as we approach that April 6th cutoff.
[02:13] Lila Grant: For now, the successful interceptions by Israel have limited the immediate physical damage,
[02:18] Lila Grant: but the geopolitical and economic pressure is mounting on all fronts.
[02:23] Lila Grant: From Neural Newscast, I'm Evelyn Hartwell.
[02:25] Lila Grant: And I'm Leela Grant.
[02:27] Lila Grant: Neural Newscast is AI-assisted, human-reviewed.
[02:31] Lila Grant: View our AI transparency policy at neuralnewscast.com.