The crude oil price reversed direction Monday to climb back above $30 (WTIC) as the market has started to discount the probability that the Iranians have been duped into given up nuclear weaponry, in a perpetual U.S. game of sanctions for ever for the purpose of Iran being systematically disarmed of it's military capacity much as Iraq was disarmed before a pretext for invasion was manufactured by the Intelligence Agencies all to appease the Saudi and Israeli fundamentalist states (Islamic and Jewish).

Whilst the new sanctions on Iran are not anywhere near as severe as the nuclear sanctions that were scrapped barely 24 hours earlier, still it amounts to a kick in the teeth for the Iranian people. Which is another example of why the United States just cannot be trusted, where the reality of an Empire does not match the illusion of freedom and democracy. This despite the fact that the world is definitely a far safer place without a nuclear Iran. However, the fact that the United States has once more shown that it cannot be trusted (ask the north american indians) sends a message out to all states to build up their militaries and enter into alliances and pacts so as to deter the potential of future U.S. Imperial aggression or from America's client rogue states such as the nuclear armed Israel and Saudi Arabia (which has a dozen or so Pakistani nukes on standby).

At the end of the day the U.S. has made a mistake for THREE reasons -

1. Double standards, arming the Israeli and Saudi rogue states to the hilt whilst prancing about the U.N. demanding other rogue states be disarmed.

2. Sends a message that the United States cannot be trusted, so take appropriate defensive action.

3. Iran's economy is about to boom following the lifting of 'most' sanctions, which means tens of billions of dollars of foreign contracts, but not now for U.S. corporations. Furthermore in the future an economically healthier Iran will have a greater incentive to arm itself with Russian and Chinese weapons.

Effective disarmament should always take a MULTI-LATERAL approach, so YES Iran should NOT have nuclear weapons or ballistic missiles, but neither should Israel, Saudi Arabia, Pakistan, India, China etc. For the fundamental fact that it does not matter who starts a nuclear war because no one wins. Even worse is that messianic fundamentalist states that crave Armageddon so that the Messiah, Jesus or Mahdi will come, so putting nuclear weapons in these fanatical hands is just asking for trouble be they Christian, Jewish, Hindu or Islamic fundamentalist states as I explained in this video:

Until a multi-lateral approach is adopted then nations will continue to have no choice but to counter threats in regional arms races which for Iran is on multiple fronts whilst it's key allie, Russia is presently crippled due to the collapse in oil price that has hit the Russian economy hard.

For the prospects for the crude oil price for the whole of 2016 see my recent in-depth analysis and accompanying video :

17 Jan 2016 - Crude Oil Price Crash Triggering Global Instability, Trend Forecast 2016

And ensure you are subscribed to my always free newsletter (only requirement is an email address) for the following forthcoming pieces of analysis

Interest Rates 2016
US Dollar Trend Forecast
Stock Market Trend Forecast 2016
US House Prices Forecast 2016 and Beyond
Gold and Silver Price Forecast 2016

By Nadeem Walayat

http://www.marketoracle.co.uk

Nadeem Walayat has over 25 years experience of trading derivatives, portfolio management and analysing the financial markets, including one of few who both anticipated and Beat the 1987 Crash. Nadeem's forward looking analysis focuses on UK inflation, economy, interest rates and housing market. He is the author of five ebook's in the The Inflation Mega-Trend and Stocks Stealth Bull Market series that can be downloaded for Free.

Nadeem is the Editor of The Market Oracle, a FREE Daily Financial Markets Analysis & Forecasting online publication that presents in-depth analysis from over 1000 experienced analysts on a range of views of the probable direction of the financial markets, thus enabling our readers to arrive at an informed opinion on future market direction. http://www.marketoracle.co.uk

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any trading losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors before engaging in any trading activities.

Nadeem Walayat Archive

Only logged in users are allowed to post comments. Register/ Log in

The Market Oracle is a FREE Financial Markets Forecasting & Analysis web-site.
(c) 2005-2024 MarketOracle.co.uk (Market Oracle Ltd) - Market Oracle Ltd asserts copyright on all articles authored by our editorial team and all comments posted. Any and all information provided within the web-site, is for general information purposes only and Market Oracle Ltd do not warrant the accuracy, timeliness or suitability of any information provided on this site. nor is or shall be deemed to constitute, financial or any other advice or recommendation by us. and are also not meant to be investment advice or solicitation or recommendation to establish market positions. We do not give investment advice and our comments are an expression of opinion only and should not be construed in any manner whatsoever as recommendations to enter into a market position either stock, option, futures contract, bonds, commodity or any other financial instrument at any time. We recommend that independent professional advice is obtained before you make any investment or trading decisions. By using this site you agree to this sites Terms of Use. From time to time we promote or endorse certain products / services that we believe are worthy of your time and attention. In return for that endorsement and only in the cases where you purchase directly though us may we be compensated by the producers of those products.