Gulf states brace for escalation of US-Israel war with Iran

2 min read
Gulf states brace for escalation of US-Israel war with Iran
PrimeXBT Editorial Team
Reviewed by PrimeXBT

Top Middle East diplomats warn that a threatened escalation of the war between the US and Iran would probably be even more damaging than earlier rounds. Qatar is trying to mediate an interim deal, while Gulf states fear a new wave of Iranian attacks on energy sites and civilian infrastructure.

Gulf diplomats warned on the weekend that renewed war between the US and Iran would probably be even more damaging than the previous rounds, which have destabilised the region and caused turmoil in international energy markets. Egyptian foreign minister Badr Abdelatty said on Saturday that he was very confident a second round would be more dangerous and more destructive, and that it would lead nowhere.

Fears of a new phase after the US vote

There is concern in Iran and across the region that US President Donald Trump and Israeli Prime Minister Benjamin Netanyahu plan a new intense phase of the war after Americans vote on Tuesday. The expectation is that it would target Iranian nuclear and missile facilities, power plants and other infrastructure.

Iran has promised a fierce response, which raises fears in the Gulf that energy sites and civilian infrastructure, from airports to desalination plants, would again be targeted. Supreme leader Ayatollah Mojtaba Khamenei has warned that Iran would retaliate to fresh US-Israel attacks without any geographical limitations.

Qatar mediates as attacks continue

Meanwhile, Qatar is leading regional efforts to mediate an interim deal ahead of the US midterm elections next week. Iranian officials spent Saturday and Sunday in Doha for talks with mediators after a Qatari delegation visited Tehran on Friday.

However, the gap between the sides remains. Speaking at the IISS Manama Dialogue in Bahrain, UAE diplomat Anwar Gargash said on Sunday that the US and Iranian stances were still far apart. According to the Financial Times: "if these positions are not bridged then we have to worry about the worst" — Gargash's words.

Violence continues in the meantime. Saudi authorities mandated remote learning for schools nationwide on Saturday as Iran-backed Houthi missile and drone attacks kept targeting the kingdom. Trade and transport in the region have already been disrupted by Iran's attacks on shipping through the Strait of Hormuz, a crucial artery for energy exports.

Source: Financial Times

Trading involves risk.

Most traded markets

BTC / USD
+0.28% 77,770.6
XAU / USD.24
-0.05% 3,878.01
ETH / USD
+0.19% 2,256.52
ZEC / USD
-4.52% 1,215.63
NEAR / USD
-4.06% 4.257
SOL / USD
-1.91% 93.87
View all markets

Author

PrimeXBT
Our Editorial Team consists of leading experts with a proven record in the fields of trading, cryptocurrencies, blockchain and finance. We thoroughly research the sources of information in order to provide readers with quality content that serves edu...
Read author’s articles
Alert Triangle Risk Disclaimer
Disclaimer: Some past publications may be outdated. We recommend following our news to stay up to date with the latest information. For any questions, feel free to contact our support team via the chat below.
The content provided here is for informational purposes only. It is not intended as personal investment advice and does not constitute a solicitation or invitation to engage in any financial transactions, investments, or related activities. Past performance is not a reliable indicator of future results.
The financial products offered by the Company are complex and come with a high risk of losing money rapidly due to leverage. These products may not be suitable for all investors. Before engaging, you should consider whether you understand how these leveraged products work and whether you can afford the high risk of losing your money.
The Company does not accept clients from the Restricted Jurisdictions as indicated in our website/ T&C. Some services or products may not be available in your jurisdiction.
The applicable legal entity and its respective products and services depend on the client’s country of residence and the entity with which the client has established a contractual relationship during registration.

Today in markets

Browse World News

Register Now

Trading involves risk

Get started in minutes

Our clients love how fast and simple our sign-up is. It takes just a few minutes to get started!

Get Started Get Started
Get started in minutes

Need Help?

Risk Warning:
Trading in leveraged products carries a high level of risk and may not be suitable for all investors.