Free Trial

No Meaningful Israel-Hamas Escalation, Yet

CROSS ASSET

The Israeli-Hamas conflict didn’t see a meaningful escalation over the weekend, although it was close, with the weather a touted impediment to the IDF’s ground assault on Gaza after warnings of an imminent multi-method attack.

  • More recently, Egyptian security sources speaking to RTRS noted that the U.S., Israel & Egypt have agreed to a ceasefire in southern Gaza as of 07:00 London time, which would line up with the reopening of the Rafah border crossing between Egypt & Gaza. The sources have flagged that the ceasefire will last for several hours, but that hasn’t been much clarity on that front. This is a positive from a humanitarian standpoint, but not a gamechanger for the conflict on the whole.
  • Bunds, gold and oil eased at the margin as the headlines were digested, while e-minis caught an incremental bid.
  • A reminder that Bunds, gold and oil were beneficiaries of pre-weekend geopolitical risk hedging.
  • U.S., Israeli & Hamas officials haven’t provided information re: the story, while more recent headlines have noted that Israel plans to evacuate residents near the Lebanese border, pointing to continued preparatory efforts re: a deeper conflict.
  • A quick reminder that the weekend saw the U.S. employ back-channel talks with Iran, while Iran issued a warning to Israel re: an escalation in the conflict. U.S. President Biden also stressed that Iran should not become involved in the conflict.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.