Saudi Civil Defense: the national emergency early-warning platform for Jeddah province has issued an alert.

CBS says Houthi forces have expanded influence along the Red Sea coast, disrupting transits through the Bab el-Mandeb and reducing Saudi export shipping. Kpler shows just five vessels carrying Saudi products left the Red Sea via Bab el-Mandeb in the past seven days—about one-third of this year’s seven-day average; the prior weekly high was 11 vessels in the week of July 24. Bab el-Mandeb is a key channel for Saudi oil exports. Houthis state only Saudi ships will be targeted, but markets fear any attack could deter carriers from the route. Product-tanker transits through Bab el-Mandeb were below normal over the past week but have not stopped.

Fed governor Bowman said the Fed will complete a reform package in the coming weeks to increase transparency and accountability of bank stress tests. Bowman said the adjustments will make stress tests more reliable and reduce volatility in banks' capital requirements.