Nope, I embed YouTube videos all the time on my site and so do millions of other websites.
I don't think having music videos on YouTube is legal unless you have permission from the record company, but people do it anyways. Embedding a YouTube video on your website, even if it's illegal probably won't be a big deal since it's probably not a huge website.Ok, but what if its like music videos or something from that category.
You can't do it if you try to make any money from your site:I have a website and I want to put a couple of videos on it such as from youtube, metacafe, etc. Are there copyright issues abd problems that I could be facing if I do.
That leaves contributory infringement. If you link to a video that you know is infringing, or that any reasonable person would have known is infringing, and if your link materially contributes to the infringement, then you could be liable for contributory infringement -- a kind of "aiding and abetting" liability. -EFF Article
I'd like to point out that Yahoo provides you with the embed code themeselves so I'm sure it's legal.