Half-term perhaps finding one in embrace with a Yankee (7)
I believe the answer is:
holiday
'half-term perhaps' is the definition.
(I know that half-term is a type of holiday)
'one in embrace with a yankee' is the wordplay.
'one' becomes 'i' (Roman numeral).
'in' is an insertion indicator.
'embrace' becomes 'hold' (to hold someone is to embrace them).
'with' is a charade indicator (letters next to each other).
'yankee' becomes 'Y' (phonetic alphabet: alpha, bravo, charlie etc.).
'i' placed inside 'hold' is 'holid'.
'holid'+'a'+'y'='HOLIDAY'
'finding' is the link.
(Other definitions for holiday that I've seen before include "Day of festivity" , "Time off work" , "See 8" , "rest" , "jazz singer" .)