{"id":71964,"date":"2026-09-18T14:08:18","date_gmt":"2026-09-18T18:08:18","guid":{"rendered":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/global-energy-and-tech-tensions-rise-as-houthi-gains-disrupt-red-sea-trade\/71964\/"},"modified":"2026-09-18T14:08:18","modified_gmt":"2026-09-18T18:08:18","slug":"global-energy-and-tech-tensions-rise-as-houthi-gains-disrupt-red-sea-trade","status":"publish","type":"post","link":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/global-energy-and-tech-tensions-rise-as-houthi-gains-disrupt-red-sea-trade\/71964\/","title":{"rendered":"Global Energy and Tech Tensions Rise as Houthi Gains Disrupt Red Sea Trade"},"content":{"rendered":"<h2>Key Takeaways<\/h2>\n<ul>\n<li><strong>Saudi oil exports through the Bab el-Mandeb Strait have plummeted to under one-third<\/strong> of their 2026 average following significant territorial gains by Houthi rebels.<\/li>\n<li><strong>Westinghouse Electric is targeting a valuation exceeding $50 billion<\/strong> for its upcoming U.S. IPO, capitalizing on surging energy demand from AI data centers.<\/li>\n<li><strong>U.S. Treasury Secretary Scott Bessent is set to meet Chinese Vice Premier He Lifeng<\/strong> this weekend to discuss &quot;shared risks&quot; in AI and rare earth mineral supply chains.<\/li>\n<li><strong>Duke Energy (<a href=\"\/stock\/DUK\">DUK<\/a>) issued an emergency request<\/strong> for customers in the Carolinas to reduce power usage between 2 p.m. and 8 p.m. due to record-breaking September heat.<\/li>\n<li><strong>David Sacks, a key AI advisor to the Trump administration,<\/strong> will attend a high-profile state dinner with Chinese President Xi Jinping to discuss potential cyber standards for AI.<\/li>\n<\/ul>\n<h2>Red Sea Crisis Chokes Saudi Energy Exports<\/h2>\n<p>Maritime traffic through the <strong>Bab el-Mandeb Strait<\/strong> has reached a critical bottleneck as Houthi rebels consolidate control over the Red Sea coast. Data from maritime tracking firms shows that weekly traffic since early August has fallen to <strong>less than 33% of the seven-day average<\/strong> for the year. The disruption has hit <strong>Saudi Arabia<\/strong> particularly hard, as the kingdom had been utilizing the route as a primary bypass following the closure of the <strong>Strait of Hormuz<\/strong>.<\/p>\n<p>The Houthi advance, which includes the capture of the strategic port of <strong>Mocha<\/strong> and <strong>Perim Island<\/strong>, has effectively established a blockade against Saudi-flagged vessels. While the group claims other commercial shipping remains safe, the heightened risk has forced many global shippers to divert around the <strong>Cape of Good Hope<\/strong>. This logistics shift is placing immense pressure on global energy prices, which have recently breached the <strong>$100 per barrel<\/strong> mark.<\/p>\n<h2>Westinghouse Eyes $50 Billion Valuation in Nuclear Revival<\/h2>\n<p><strong>Westinghouse Electric Company<\/strong> is preparing for a massive U.S. initial public offering with a targeted valuation of more than <strong>$50 billion<\/strong>. The company, currently owned by Brookfield Renewable Partners (<a href=\"\/stock\/BEP\">BEP<\/a>) and Cameco (<a href=\"\/stock\/CCJ\">CCJ<\/a>), is riding a wave of renewed interest in nuclear energy driven by the massive power requirements of <strong>Artificial Intelligence<\/strong> data centers.<\/p>\n<p>The IPO, which could be filed as early as October, represents a dramatic turnaround for a company that was in bankruptcy less than a decade ago. Current owners Cameco (<a href=\"\/stock\/CCJ\">CCJ<\/a>) and Brookfield (<a href=\"\/stock\/BEP\">BEP<\/a>) acquired the firm in 2023 at an <strong>$8 billion valuation<\/strong>, suggesting a potential six-fold return on investment. The listing is expected to be led by <strong>Citigroup<\/strong> and <strong>Goldman Sachs<\/strong>, marking one of the most significant industrial debuts of the year.<\/p>\n<h2>U.S. and China Open High-Level AI and Mineral Talks<\/h2>\n<p>U.S. Treasury Secretary <strong>Scott Bessent<\/strong> is scheduled for multi-hour negotiations with Chinese Vice Premier <strong>He Lifeng<\/strong> in New York this weekend. The agenda is focused on the &quot;shared risks&quot; of <strong>AI development<\/strong> and the stability of <strong>rare earth mineral<\/strong> supply chains. These talks serve as a critical precursor to the planned summit between <strong>President Donald Trump<\/strong> and <strong>President Xi Jinping<\/strong> on September 24.<\/p>\n<p>Adding a layer of private-sector influence, &quot;AI whisperer&quot; <strong>David Sacks<\/strong> is confirmed to attend the state dinner with President Xi. Sacks has recently advocated for common cyber standards to prevent &quot;rogue actors&quot; from exploiting AI vulnerabilities, even as the Trump administration maintains a policy of <strong>unrestricted domestic AI growth<\/strong> to ensure American dominance over Beijing.<\/p>\n<h2>Grid Strain Forces Conservation in the Carolinas<\/h2>\n<p><strong>Duke Energy (<a href=\"\/stock\/DUK\">DUK<\/a>)<\/strong> has requested that its 4.7 million customers in <strong>North and South Carolina<\/strong> voluntarily reduce electricity consumption today. The utility cited &quot;unusually hot September weather,&quot; with temperatures nearly <strong>10 degrees above seasonal norms<\/strong>, as the primary driver for the grid strain. Customers are being urged to raise thermostats and delay the use of major appliances until after 8 p.m.<\/p>\n<p>The request comes amid a broader debate regarding the impact of <strong>data centers<\/strong> on the regional power grid. North Carolina&#39;s Attorney General has recently proposed a new rate class for these large-scale energy users to ensure they pay for the infrastructure upgrades required to support their massive load. Duke Energy (<a href=\"\/stock\/DUK\">DUK<\/a>) currently has approximately <strong>8 gigawatts<\/strong> of prospective data center demand in its connection queue.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Key Takeaways Saudi oil exports through the Bab el-Mandeb Strait have plummeted to under one-third of their 2026 average following 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