DUBAI, UNITED ARAB EMIRATES -- The United Arab Emirates and the U.S. military intercepted two ballistic missiles fired by Yemen's Houthi rebels over the skies of Abu Dhabi early Monday, authorities said, the second attack in a week that targeted the Emirati capital.
The missile fire further escalates tensions across the Persian Gulf, which previously had seen a series of assaults near -- but never indisputably on -- Emirati soil. It comes during Yemen's yearslong war and the collapse of Iran's nuclear deal with world powers. American troops at Al-Dhafra Air Base in the capital took shelter in bunkers during the attack and fired back with their own Patriot missiles.
The attacks threaten the business-friendly, tourism-focused efforts of the Emirates, a federation of seven sheikhdoms on the Arabian Peninsula also home to Dubai. For years, the country has marketed itself as a safe corner of an otherwise-dangerous neighbourhood.
The state-run WAM news agency said that missile fragments fell harmlessly over Abu Dhabi.
The Emirates is "ready to deal with any threats and ... it takes all necessary measures to protect the state from all attacks," WAM quoted the UAE Defense Ministry as sayin
A U.S. military official, speaking on condition of anonymity to discuss military operations, acknowledged the assistance of American Patriot missile batteries prevented the Houthi missiles from striking targets in Abu Dhabi. Videos on social media suggested outgoing interceptor fire came from the base.
Houthi military spokesman Yehia Sarei claimed the attack in a televised statement, saying the rebels targeted several sites in the UAE with both Zulfiqar ballistic missiles and drones, including Al-Dhafra Air Base. He warned the UAE would continue to be a target "as long as attacks on the Yemeni people continue."
"We warn foreign companies and investors to leave the Emirates!" Sarei shouted from a podium. "This has become an unsafe country!"
The Dubai Financial Market closed down nearly 2% after the attack, with nearly every company trading down. The Abu Dhabi Securities Exchange also fell slightly.
The attack came a week after Yemen's Houthi rebels claimed an attack on the Emirati capital targeting the airport and an Abu Dhabi National Oil Co. fuel depot in the Mussafah neighbourhood with drones and cruise missiles. That attack on the fuel depot killed three people and wounded six others.
New, high-resolution satellite photographs obtained by The Associated Press from Planet Labs PBC showed repair work still ongoing at the fuel depot Saturday. Emirati officials have not released images of the attacked sites, nor allowed journalists to see them.
In recent days, a Saudi-led coalition that the UAE backs unleashed punishing airstrikes targeting Yemen, knocking the Arab world's poorest country off the internet and killing over 80 people at a detention centre.
The Houthis had threaten to take revenge against the Emirates and Saudi Arabia over those attacks. On Sunday, the Saudi-led coalition said a Houthi-launched ballistic missile landed in an industrial area in Jizan, Saudi Arabia. The missile tore a deep crater in the ground, television footage showed, and slightly wounded two foreigners of Bangladeshi and Sudanese nationality.