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Why Is WTI Oil Rebounding? Houthi Rebels Defy UN Resolution on Red Sea Attacks

West Texas Intermediate crude futures have xrp calculator profitstaged a notable recovery in Asian trading hours, with prices climbing back toward the $71.70 per barrel level after recent volatility. This upward movement comes amid heightened concerns over potential supply chain disruptions in one of the world's most critical maritime chokepoints.The geopolitical flashpoint centers around Yemen's Houthi movement, which has openly criticized a United Nations Security Council resolution passed this week. The measure, supported by 11 member states, explicitly demands an immediate halt to attacks on commercial vessels transiting the Red Sea shipping lanes. These waterways handle approximately 12% of global trade volume, including significant oil shipments from Middle Eastern producers to European and Western markets.Market participants are particularly attentive to developments surrounding the Galaxy Leader, a Japanese-operated vessel seized by Houthi forces in November. The UN resolution calls for the ship's immediate release while implicitly endorsing the US-led maritime security initiative Operation Prosperity Guardian. However, senior Houthi official Mohammed Ali al-Houthi dismissed the diplomatic measure as 'political theater' in social media remarks, signaling potential continued volatility in the region.On the fundamental side, the US Energy Information Administration reported an unexpected 1.338 million barrel build in commercial crude inventories, contrasting sharply with analyst expectations of a 675,000 barrel draw. This bearish data point temporarily capped price gains before the geopolitical premium reasserted itself. The inventory surprise follows Tuesday's API data showing a larger-than-forecast 5.215 million barrel withdrawal, creating mixed signals about near-term supply conditions.The oil market appears to be pricing in two competing narratives: the immediate physical oversupply reflected in storage data versus the longer-term risk premium associated with Red Sea security concerns. Traders are also weighing the potential for these tensions to impact OPEC+ production policy when the group meets later this quarter. With maritime insurance costs rising and some shippers opting for longer Africa-bound routes, the disruption could manifest in higher delivered crude prices even if prompt supplies remain adequate.Technical analysts note that WTI has established support near the $70 psychological level, though resistance persists around the 50-day moving average near $73.50. The commodity's sensitivity to both geopolitical headlines and inventory data suggests continued volatility may characterize trading sessions in the near term, particularly as market participants assess whether the Red Sea situation represents a temporary disruption or more sustained threat to global energy flows.