You can’t choke a dead horse. Anyone who has studied geopolitics, particularly in the context of energy, has learned that control over waterways — most notably the Suez Canal — translates into influence, as actors can threaten to disrupt energy supplies. But they also know that leverage is limited: Commerce invariably adjusts to disruptions and markets stabilize around a new normal.
The crisis in the Red Sea demonstrates this effect, though in an unexpected way. Months of Houthi attacks on shipping, followed by a significant U.S. and British military response, has done little to move oil prices, while the impactThe post Red Sea Shocks and the New More Stable Normal appeared first on War on the Rocks.