Mikkel Rosenvold
26 weeks ago

Analyst: A very soft response from Iran

Iran's limited missile and drone strike against Israel over the weekend following an Israeli attack in Damascus prompts strategic restraint and cautious market responses.

Iran executed a controlled retaliatory strike against Israel, launching several hundred missiles and drones, primarily from Iranian territory. The attack, which targeted Israel, saw the majority of these projectiles intercepted by Israel and Western defenses over Jordan and Syria, resulting in minimal damage. Analysts perceive this as a measured response, avoiding the use of heavier military assets like Iran's air force or ballistic missiles, and not targeting Western interests directly, writes geopolitical analyst Mikkel Rosenvold of Steno Research.

The U.S. interpretation of the strike suggests a recognition of this act as closing the current cycle of aggression, advising against further offensive moves by Israel. This response indicates that the U.S. is keen on stabilizing the situation without escalating to a broader conflict.

Markets reacted negatively with a drop in Bitcoin prices, anticipating potential fallout when markets open on Monday. However, the general consensus among observers is that market impacts will be transient. The situation is not expected to escalate into a major war or global conflict. Future conflicts might be more localized, possibly involving Iranian proxies like Hezbollah, but without direct U.S. support for Israeli actions.

Investors are advised to view any significant market dips as buying opportunities, anticipating a market correction. The primary risk remains potential disruptions in the Persian Gulf, which could affect global oil and gas supplies, should Iran choose to escalate by targeting maritime routes. However, this scenario is currently deemed unlikely.

Disclaimer

The information provided by this Site is for general informational purposes only. All information on the Site is provided in good faith, however we make no representation or warranty of any kind, express or implied, regarding the accuracy, adequacy, validity, reliability, availability or completeness of any information on the Site.

More News

16 weeks ago Analysis: New Debate Rules Favor Biden New rules announced for the June 27th debate between Joe Biden and Donald Trump serves the President well.
16 weeks ago StanChart Becomes Among the First Global Banks to Launch Spot Crypto Trading StanChart breaks new ground by launching spot trading for Bitcoin and Ether, leading the charge among global banks in the cryptocurrency space.
16 weeks ago Crypto, Currently: June 21, 2024 - Market Bears Down on Major Cryptos Daily update on the five cryptocurrencies, we consider the most interesting right now.
16 weeks ago FX Daily: June 21, 2024 – Forex Market Update Daily update from the foreign exchange markets.
16 weeks ago Amazon Plans To Make Largest Reduction of Plastic Packaging in North America To Date Amazon's response to mounting criticism over its plastic waste with a new reduction plan.
16 weeks ago Ex-OpenAI Chief Scientist Ilya Sutskever Launches New Company Amid Criticism of ChatGPT Parent's Board Appointments Ilya Sutskever, former chief scientist at OpenAI, has co-founded a new company, Safe Superintelligence Inc., amidst ongoing scrutiny of OpenAI’s recent board appointments.
16 weeks ago FX Daily: June 20, 2024 - Mixed Movements in Global Currency Markets Daily update from the foreign exchange markets.