Major Investment Bank Issues Warning on Strike Against Iran
January 16th, 2007If you liked my Oil Options for Gamblers piece, you’ll love this. The underlying oil contract is up about $4 from where it was when I put out that call. I’m not tooting my own horn. If I thought I was such a great oil analyst, I would have bought some of those call options myself. All I’m saying is that oil’s move down reeked of a dark plot. Oil at multi month lows with all of this stuff happening in the Persian Gulf?
Tell me another one.
Of course, this could be a sucker bounce and we could see the next leg down very soon. That probably won’t happen, but it easily could. Could. Could. Could. Could. That’s why I don’t trade this crap. But a hail mary on the far out of the money March call options… Yep. That seems like the play that has been engineered to make the fewest people the most money.
Via: Raw Story:
Warning that investors might be “in for a shock,” a major investment bank has told the financial community that a preemptive strike by Israel with American backing could hit Iran’s nuclear program, RAW STORY has learned.
The banking division of ING Group released a memo on Jan. 9 entitled “Attacking Iran: The market impact of a surprise Israeli strike on its nuclear facilities.”
ING is a global financial services company of Dutch origin that includes banking, insurance, and other divisions. The report was authored by Charles Robinson, the Chief Economist for Emerging Europe, Middle East, and Africa. He also authored an update in ING’s daily update, Prophet, that further underscored the bank’s perception of the risks of an attack.
ING’s Robertson admitted that an attack on Iran was “high impact, if low probability,” but explained some of the reasons why a strike might go forward. The Jan. 9 dispatch, describes Israel as “not prepared to accept the same doctrine of ‘mutually assured destruction’ that kept the peace during the Cold War. Israel is adamant that this is not an option for such a geographically small country….So if Israel is convinced Iran is aiming to develop a nuclear weapon, it must presumably act at some point.”
Research Credit: BR
