The Iran-backed Houthis in Yemen say they have launched a barrage of missiles against Israel - the first since the start of the US-Israel war with Iran.

The group said in a statement that it had targeted sensitive Israeli military sites and vowed to continue such attacks. Israel said it intercepted one missile coming from Yemen.

The entry of the powerful Iranian proxy into the conflict raises fears of further disruption to the world economy as the armed group has capacity to attack shipping in the Red Sea.

Houthis consider themselves to be part of a so-called axis of resistance that also includes other groups financed by Iran, such as the Hezbollah in Lebanon and Hamas in the Gaza Strip.

Yemen has been devastated by a civil war that began 12 years ago, when the Houthis seized control of the country's north-west from the internationally recognised government, prompting intervention from a Saudi-led coalition supported by the U.S. Crucially, they control Yemen's Red Sea coastline.

The involvement of the group in the conflict had been largely expected, especially following a military statement suggesting readiness for intervention in response to U.S. and Israeli aggressions. Just hours after launching an attack, the Houthis proclaimed that they would continue their missile strikes until aggression against their allies ceases.

The implications are grave; the Red Sea serves as a major transit route for global trade, and any sustained conflict could impact oil prices, further exacerbated by existing tensions in the Strait of Hormuz.