Live updates: Follow the latest on Israel-Gaza
US President Donald Trump on Tuesday said Yemen's Houthis had “capitulated” and that the US would stop attacking the Iran-backed rebels after they agreed to cease attacking ships in the Red Sea.
The surprise announcement comes after the Houthis began attacking Israeli and US-linked ships after the outbreak of the Gaza war in October 2023. The shipping lane is a vital trade route between Asia, the Middle East and Europe, accounting for about 15 per cent of global shipping.
Mr Trump in March ordered new air strikes against the Houthis and said the “barbarians” would be “completely annihilated”.
“The Houthis announced that they don't want to fight any more, and we will honour that and we will stop the bombings,” Mr Trump said at the White House as he met Canadian Prime Minister Mark Carney.
“They have capitulated … they said they won't be blowing up ships any more. We just found out about that.”
Since 2023, more than 100 merchant ships have been hit with drones and missiles, in what the Houthis have described as acts of solidarity with Gazans in the enclave.
Sayyid Badr Al Busaidi, the Omani Foreign Minister, confirmed later that efforts to de-escalate the situation had resulted in a ceasefire between the two sides.
“In the future, neither side will target the other, including American vessels, in the Red Sea and Bab Al Mandeb strait, ensuring freedom of navigation and the smooth flow of international commercial shipping,” Sayyid Badr said in a post on X.
The Omani statement did not mention whether the Houthis had agreed to stop striking Israel. The head of Yemen's Houthi Supreme Political Council, Mahdi Al Mashat, said the group would continue to support Gaza and that such attacks would continue.
"To all Zionists from now on, stay in shelters or leave to your countries immediately as your failed government will not be able to protect you after today," Houthi-run Al Masirah TV quoted Mr Al Mashat as saying.
Houthi leadership also said in a post on X that the group had indirectly informed the US that continued escalation would affect Mr Trump's upcoming visit to the region.
Meanwhile, the head of Yemen's Houthi Supreme Revolutionary Committee, Mohammed Ali Al Houthi, said the US halt of "aggression" against Yemen would be evaluated, according to a post on X.
Some experts welcomed Mr Trump's announcement. The development comes as Washington heaps pressure on Iran in a "maximum pressure" campaign aimed at forcing it to dismantle its nuclear programme. A new round of nuclear talks is expected to take place this weekend.
"Washington's open-ended and congressionally unauthorised strikes against the Houthis for targeting shipping in the Red Sea was the epitome of strategic malpractice, neglecting the origins of the conflict [the war in Gaza] and failing to deter the group while squandering billions in taxpayer dollars," said Jon Hoffman, a research fellow in defence and foreign policy at the Cato Institute.
The Pentagon did not provide more information about the end of military operations. It has previously said the US military has struck more than 1,000 targets since its current operation in Yemen, known as Operation Rough Rider, began on March 15. The strikes have killed "hundreds of Houthi fighters and numerous Houthi leaders", officials said.
The accord between the US and the Houthis does not necessarily mean the rebels will be under less military pressure, given that Israel is not a party to the agreement.
The Houthis on Sunday launched a missile that struck an access road near Israel’s Ben Gurion International Airport, briefly halting flights and commuter traffic. At least eight people were injured.
The Israeli military said on Tuesday that it had attacked Houthi targets in Yemen, including the airport in Sanaa and several power stations in the area, in response.
“Our choice of when to respond, how to respond, and on what targets to respond – this is a consideration we make every time,” Mr Netanyahu said on Tuesday.
The Houthis said three people were killed and 38 wounded in Israeli strikes on Yemen, including the Sanaa airport.
UAE currency: the story behind the money in your pockets
Company%20Profile
%3Cp%3E%3Cstrong%3EName%3A%20%3C%2Fstrong%3EDirect%20Debit%20System%3Cbr%3E%3Cstrong%3EStarted%3A%3C%2Fstrong%3E%20Sept%202017%3Cbr%3E%3Cstrong%3EBased%3A%3C%2Fstrong%3E%20UAE%20with%20a%20subsidiary%20in%20the%20UK%3Cbr%3E%3Cstrong%3EIndustry%3A%3C%2Fstrong%3E%20FinTech%3Cbr%3E%3Cstrong%3EFunding%3A%3C%2Fstrong%3E%20Undisclosed%3Cbr%3E%3Cstrong%3EInvestors%3A%3C%2Fstrong%3E%20Elaine%20Jones%3Cbr%3E%3Cstrong%3ENumber%20of%20employees%3A%3C%2Fstrong%3E%208%3Cbr%3E%3C%2Fp%3E%0A
Dust and sand storms compared
Sand storm
- Particle size: Larger, heavier sand grains
- Visibility: Often dramatic with thick "walls" of sand
- Duration: Short-lived, typically localised
- Travel distance: Limited
- Source: Open desert areas with strong winds
Dust storm
- Particle size: Much finer, lightweight particles
- Visibility: Hazy skies but less intense
- Duration: Can linger for days
- Travel distance: Long-range, up to thousands of kilometres
- Source: Can be carried from distant regions
Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
More from Neighbourhood Watch:
SERIE A FIXTURES
Saturday (All UAE kick-off times)
Cagliari v AC Milan (6pm)
Lazio v Napoli (9pm)
Inter Milan v Atalanta (11.45pm)
Sunday
Udinese v Sassuolo (3.30pm)
Sampdoria v Brescia (6pm)
Fiorentina v SPAL (6pm)
Torino v Bologna (6pm)
Verona v Genoa (9pm)
Roma V Juventus (11.45pm)
Parma v Lecce (11.45pm)
COMPANY PROFILE
Name: Lamsa
Founder: Badr Ward
Launched: 2014
Employees: 60
Based: Abu Dhabi
Sector: EdTech
Funding to date: $15 million
What vitamins do we know are beneficial for living in the UAE
Vitamin D: Highly relevant in the UAE due to limited sun exposure; supports bone health, immunity and mood.
Vitamin B12: Important for nerve health and energy production, especially for vegetarians, vegans and individuals with absorption issues.
Iron: Useful only when deficiency or anaemia is confirmed; helps reduce fatigue and support immunity.
Omega-3 (EPA/DHA): Supports heart health and reduces inflammation, especially for those who consume little fish.
COMPANY PROFILE
Name: Kumulus Water
Started: 2021
Founders: Iheb Triki and Mohamed Ali Abid
Based: Tunisia
Sector: Water technology
Number of staff: 22
Investment raised: $4 million
The specs: 2018 BMW R nineT Scrambler
Price, base / as tested Dh57,000
Engine 1,170cc air/oil-cooled flat twin four-stroke engine
Transmission Six-speed gearbox
Power 110hp) @ 7,750rpm
Torque 116Nm @ 6,000rpm
Fuel economy, combined 5.3L / 100km
UAE currency: the story behind the money in your pockets
ONCE UPON A TIME IN GAZA
Starring: Nader Abd Alhay, Majd Eid, Ramzi Maqdisi
Directors: Tarzan and Arab Nasser
Rating: 4.5/5
Specs
Engine: 51.5kW electric motor
Range: 400km
Power: 134bhp
Torque: 175Nm
Price: From Dh98,800
Available: Now
The specs
Engine: 2.9-litre twin-turbo V6
Power: 540hp at 6,500rpm
Torque: 600Nm at 2,500rpm
Transmission: Eight-speed auto
Kerb weight: 1580kg
Price: From Dh750k
On sale: via special order
Torbal Rayeh Wa Jayeh
Starring: Ali El Ghoureir, Khalil El Roumeithy, Mostafa Abo Seria
Stars: 3
