Nomura warns of India's oil risk from Hormuz Bab al-Mandab
Nomura is sounding the alarm on India's oil supply, as key shipping routes like the Strait of Hormuz and Bab al-Mandab are facing serious disruptions.
Over half of India's oil came from Russia in June, almost all of which travels through the Bab al-Mandab strait, one of the risky waters now facing potential disruption along with the Strait of Hormuz, and with a US naval blockade nearly stopping traffic at Hormuz, things are getting tense.
Indian refiners may face higher costs
Potential Houthi militia threats at Bab al-Mandab add to the uncertainty.
Oil prices have risen around 10% in just two days.
With ships now taking longer routes around Africa, Indian refiners might see higher costs and shrinking discounts, meaning pricier fuel could be on the horizon if things don't calm down soon.