Houthi forces have seized the port city of Mocha and nearby islands in Yemen, giving them a chokehold on one of the world's busiest oil shipping lanes — bad news for Saudi Arabia, Israel, and anyone paying for gas.

• Mocha sits close to the Bab el-Mandeb strait, the southern gate of the Red Sea, so the Houthis can now threaten or block ships heading to the Suez Canal.
• Saudi Arabia's backup oil pipeline across the peninsula was reportedly hit, knocking out the route built to work around the Strait of Hormuz.
• Oil prices jumped as two major routes for oil, fertilizer, and other goods came under threat at the same time.
• The Houthis say ships can still pass, except Saudi ones, and the port gives them a fresh source of money.
• Saudi-backed Yemeni forces lost their main supply roads and the fallback base they planned to retreat to was captured as well.

Outlook: If the Iran conflict drags on, expect higher gas prices and more damage to Middle East oil infrastructure that will take years to repair.