Houthi Attacks Persist as Egypt Authorizes Military Support for Saudi Arabia

What’s happening

Egypt's parliament voted to authorize military support for Saudi Arabia against Iran-backed Houthi attacks, even as Saudi Arabia reported intercepting missiles and drones. The escalation reflects persistent regional instability despite claims that oil exports are recovering toward prewar levels.

Market impact

Continued Houthi threats keep oil prices elevated and support energy sector valuations despite recovering export volumes. Private charter jet prices out of Saudi Arabia have surged 50% to $15,000 per flight, signaling elevated risk premiums and capital flight concerns among high-net-worth individuals.

Broader implications

Regional militarization and Egyptian involvement expand the conflict's geographic footprint, raising the risk of broader Middle East escalation. Supply chain vulnerabilities persist despite normalized export flows, constraining global growth and supporting inflation expectations.