Middle East crisis takes further turn for the worse, as Iran accuses Saudi Arabia for bombing its embassy in Yemen. Saudi Arabia has been bombing in Yemen since March last year, to weaken the positions of Houthi rebels to support of President Abdurabuh Mansur Hadi. Saudi Arabia, in the past have accused Iran for orchestrating the rebellion in Yemen using Houthis.
However, the report, which is being publicized by Iran's state owned press, it has so far not been confirmed by independent sources.
So far, Iran and Saudi Arabia have been engaging in indirect conflict, but this year with Iranian's protesters' attack on Saudi Embassy in Iran after the execution of prominent Shite cleric Nimr al Nimr. Confrontation has become more direct. Saudi Arabia has cut all diplomatic ties with Iran in response.
So today's alleged bombing, if proven could be most serious escalation between the two religious rivals and would mean a tit for tat strategy from the kingdom.
Even if not proved, the growing rift between the two is quite clear.
At current stage, without serious confrontation between the two means, higher supply of oil in the market.
Brent is currently trading at $32.9/barrel, lowest in more than 12 years.
