Recent escalation in the Yemen conflict has driven heightened trader focus on Houthi cross-border strikes, with the group launching repeated missile and drone attacks on Saudi targets since July 2026. Houthis have claimed operations against Riyadh, Aramco facilities in Yanbu, Jazan military sites, and southern energy infrastructure, while Saudi air defenses have intercepted multiple ballistic missiles and drones aimed at Taif, Medina, Khamis Mushait, and other locations. These exchanges coincide with Houthi territorial gains along Yemen’s Red Sea coast, including ports and islands near the Bab al-Mandeb Strait, alongside intensified ground clashes around Taiz. Saudi-led coalition responses include airstrikes in Yemen, though broader U.S. military involvement has remained limited. Ongoing denials, interceptions, and oil supply concerns continue to shape assessments of near-term Houthi activity levels.