Recent Houthi threats of a naval blockade targeting vessels linked to Saudi ports have triggered immediate rerouting, with multiple tankers executing U-turns in the Red Sea and traffic dropping sharply to 29 transits on one recent day before a partial rebound to 43. This volatility, amid elevated war-risk insurance premiums and advisory warnings from naval forces, compresses expected weekly volumes well below historical baselines near 500-plus. Traders price the <200 and 200-219 bins nearly even because outcomes hinge on whether the embargo holds for Saudi crude and product carriers or if non-Saudi traffic continues at reduced levels; further attacks, rapid de-escalation, or shifts in freight rates and Suez diversions remain key swing variables ahead of the July 27 resolution window.