It looks like a bug to me. I have built 4 cruise missiles and wanted to use them in a war. I started a siege of one enemy's city, and tried to launch my missile, but when I hover over tiles each of them shows red notice that this is not a battlefield, or enemy unit or district.
There is indeed a bug, but it is "just" in the tooltip. In your game the problem is that the battle is out of range, missile strikes work correctly. We are filing a bug for the tooltip feedback.
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