Flights Resume While Attacks Continue
Riyadh's primary airport restarted global service after a roughly two-week halt tied to strikes on Oct. 10-11. The airport's website showed dozens of early Sunday takeoffs to cities such as London, Dubai and Beijing, with Saudia and Flynas flying alongside Air India and Emirates.
Not every airline is back. With many international carriers still paused, traffic in and out of Riyadh remains sharply constrained. Of its five terminals, at least two are operational, while Terminal 3 remains shut due to damage from this month's strikes.
The restart came amid a heavy barrage. The Saudi-led coalition reported intercepting a ballistic missile and a drone headed toward the capital on Sunday, and said it also countered a wave of projectiles in southern areas near the Yemeni border.
Human and Economic Toll
Operations were halted after the Oct. 10-11 attacks that left over a dozen dead and hundreds injured. Across Saudi Arabia, this month's fighting has killed dozens more, with an airport in the Eastern Province hit and Saudi Aramco's oil fields also coming under attack. The Houthis say they are continuing to aim at Riyadh's airport and at key energy assets.
Washington ordered some U.S. diplomatic staff to depart Saudi Arabia and rebalanced teams across Middle East embassies as risks mounted. The staffing moves come nearly eight months into the war that the U.S. and Israel are fighting against Iran, with President Donald Trump having issued repeated warnings that he could authorize another round of strikes, potentially after the Nov. 3 U.S. midterms.
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Over the weekend, Saudi authorities put out air-raid warnings for Riyadh, Yanbu, Jeddah and Mecca. Gulf Cooperation Council Secretary General Jasem Albudaiwi condemned the threats to the holy city, calling them "a highly dangerous violation of the sanctity of the holy sites and a provocation to the sentiments of Muslims worldwide."
The Houthis, aligned with Tehran in what it calls the axis of resistance, clashed with Riyadh long before the Iran war's February start. Their campaign intensified in October after Yemeni forces backed by Saudi Arabia began an offensive to take back Houthi-held territory.
Business Disruptions and Market Reaction
The renewed attacks knocked Saudi shares down as much as 3.4% Sunday, putting the market on course for the weakest month since 2022 as investors price in greater geopolitical risk. A further escalation threatens broader damage to the economy and could slow Crown Prince Mohammed bin Salman's multi trillion dollar push to make the kingdom a magnet for foreign capital, tourism and artificial intelligence.
Corporate travel and events have already taken a hit. Riyadh postponed major gatherings including the Future Investment Initiative, a regular October draw for global finance, energy and political leaders. With flights curtailed, consultants and executives canceled trips, while those who still came often drove from Dubai, Doha or Bahrain, or took the train from Dammam.
What This Means for Your Portfolio
Reopening the airport helps reconnect Riyadh, but limited capacity and ongoing security incidents are still shaping risk sentiment. Markets have noticed, and delays to high profile events and travel plans ripple into sectors from airlines to energy. The bottom line: watch flight schedules, terminal reopenings and the event calendar for signals on how quickly confidence returns.
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