Risks of Middle East Escalation Considerable -- Market Talk

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Risks of Middle East Escalation Considerable -- Market Talk

Dow Jones06-13

0929 GMT - The risks of escalation in the Middle East are considerable, despite investors' expectations that the Israel-Iran conflict remains limited, Rabobank's Philip Marey says. He notes that Israeli Prime Minister Benjamin Netanyahu said the military operation against Iran would continue "as many days as it takes to remove this threat" and that Teheran threatened to attack U.S. military assets in the region. It is difficult to imagine that no other Middle East country helped Israel with this attack, at least by allowing the Israeli fighter jets to fly over their territory, the senior U.S. strategist at Rabobank says. The best case scenario, which markets seem to be pricing in, is a short and fast operation. The worst case is a long war that spreads to the Hormuz strait or the Gulf countries. (cristina.gallardo@wsj.com)

(END) Dow Jones Newswires

June 13, 2025 05:30 ET (09:30 GMT)

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It is difficult to imagine that no other Middle East country helped Israel with this attack, at least by allowing the Israeli fighter jets to fly over their territory, the senior U.S. strategist at Rabobank says. The best case scenario, which markets seem to be pricing in, is a short and fast operation. The worst case is a long war that spreads to the Hormuz strait or the Gulf countries. 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