https://www.marketpulse.com/20190621/gl ... need-know/
MY TAKE: Trump's "Red Line" appears to be a direct attack by Iran on U.S. personnel in the Middle East. Any U.S. casualties will draw a BIG military response from the U.S. The U.S. has a significant naval force in the region that could probably wipe out the Iranian navy in a few days.
Question: All Iran needs to do is drop their nuclear program and Trump will drop the sanctions. So why don't they do it? Surely they know that (a) we will NEVER allow them to acquire a nuclear weapon and (b) even if they did get one, any attempt to use it would bring total destruction to the county. The sanctions in place today are going to destroy Iran's economy within a year.
Update on U.S. vs Iran - June 21
Update on U.S. vs Iran - June 21
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Update on U.S. vs Iran - June 21
From Oilprice.com
Friday, June 21st, 2019
Oil prices spiked by roughly 5 percent on Thursday as the U.S. considered a military strike against Iran. Late Thursday, the U.S. military appeared poised to carry out such a strike, but the operation was called off at the last minute. Reuters reported that Trump may have relayed a message to Iran through Omani intermediaries that he wanted to open negotiations. Trump tweeted early Friday morning that he called off the strike because it would not be proportional to the shooting down of an unmanned drone. “I am in no hurry, our Military is rebuilt, new, and ready to go, by far the best in the world. Sanctions are biting & more added last night. Iran can NEVER have Nuclear Weapons, not against the USA, and not against the WORLD!,” Trump tweeted.
Region on high alert. Iranian sources told Reuters that the Supreme Leader was opposed to negotiations, but that they would relay the message to him. They also said that any attack would have regional and international consequences. “There is no doubt that a severe disruption to the transit of oil through this vulnerable route would be extremely serious,” said consultancy FGE Energy in a note. Oil prices were set for their largest weekly gain since February, rising more than 5 percent. “Though the action was halted at the last minute, the situation is unlikely to calm down anytime soon, especially given Iran’s announcement that it will breach the limit on its stockpile of enriched uranium, which was set by the nuclear agreement in 2015, already next week,” Commerzbank wrote in a note.
Exxon’s $53 billion investment in Iraq hits snag. ExxonMobil (NYSE: XOM) may wait on its $53 billion investment in Iraq that was announced a few weeks ago, as it has been held up by contract negotiations with Baghdad, as well as the security situation in southern Iraq, according to Reuters . Exxon wants to recoup development costs, something the Iraqi government says will encroach on state ownership.
OPEC to keep production flat in July. Gulf oil producers will keep output within the limits of the production cut agreement in July, despite the deal slated for expiration at the end of this month, according to Reuters . The plans suggest that the cuts are likely to be extended. “All the talk now is about an extension of the same cuts, or a rollover, until the end of the year,” one OPEC source told Reuters.
Friday, June 21st, 2019
Oil prices spiked by roughly 5 percent on Thursday as the U.S. considered a military strike against Iran. Late Thursday, the U.S. military appeared poised to carry out such a strike, but the operation was called off at the last minute. Reuters reported that Trump may have relayed a message to Iran through Omani intermediaries that he wanted to open negotiations. Trump tweeted early Friday morning that he called off the strike because it would not be proportional to the shooting down of an unmanned drone. “I am in no hurry, our Military is rebuilt, new, and ready to go, by far the best in the world. Sanctions are biting & more added last night. Iran can NEVER have Nuclear Weapons, not against the USA, and not against the WORLD!,” Trump tweeted.
Region on high alert. Iranian sources told Reuters that the Supreme Leader was opposed to negotiations, but that they would relay the message to him. They also said that any attack would have regional and international consequences. “There is no doubt that a severe disruption to the transit of oil through this vulnerable route would be extremely serious,” said consultancy FGE Energy in a note. Oil prices were set for their largest weekly gain since February, rising more than 5 percent. “Though the action was halted at the last minute, the situation is unlikely to calm down anytime soon, especially given Iran’s announcement that it will breach the limit on its stockpile of enriched uranium, which was set by the nuclear agreement in 2015, already next week,” Commerzbank wrote in a note.
Exxon’s $53 billion investment in Iraq hits snag. ExxonMobil (NYSE: XOM) may wait on its $53 billion investment in Iraq that was announced a few weeks ago, as it has been held up by contract negotiations with Baghdad, as well as the security situation in southern Iraq, according to Reuters . Exxon wants to recoup development costs, something the Iraqi government says will encroach on state ownership.
OPEC to keep production flat in July. Gulf oil producers will keep output within the limits of the production cut agreement in July, despite the deal slated for expiration at the end of this month, according to Reuters . The plans suggest that the cuts are likely to be extended. “All the talk now is about an extension of the same cuts, or a rollover, until the end of the year,” one OPEC source told Reuters.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group