A lengthy but worthy reading by CosmoTrade...
Yes, Iran might retaliate by destroying energy facilities in the Gulf, oil prices might spike to catastrophic levels, but according to this bet, that would only last for a limited time. And after the fall of the Iranian regime and the end of the war, the destroyed facilities can be rebuilt, production restored, and prices lowered.As for continuing the current war without resolution, that could mean energy prices remain high and the economic drain persists for much longer.
In other words, they might be betting that enduring a massive economic catastrophe for weeks or months is better than enduring a war of attrition that could last years.And here lies the danger of these calculations.Because the success of this bet hinges on one assumption: that destroying Iran's energy facilities will indeed lead to the rapid collapse of the Iranian regime.
But what if that doesn't happen?What if Iran retaliates by destroying Gulf energy facilities, yet the Iranian regime holds firm, the war drags on, and the temporary economic crisis they bet on turns into a long-term economic disaster?Then Trump and Netanyahu would have committed a strategic blunder whose consequences could outweigh everything the war has seen so far.And this brings us back to history.Hitler bet on crushing the Soviet Union in months, only to end up with Germany's destruction and the occupation of Berlin. Napoleon bet on subduing Russia, and his campaign became the beginning of his empire's collapse. Stalin approved the invasion of South Korea in 1950, believing a quick victory was possible, only for the war to turn into a devastating international confrontation. And in Vietnam, one American president after another escalated the war and sent more troops and money, hoping to achieve the victory their predecessors had failed to secure, until the adventure ended in a historic American defeat.
The common thread among these examples isn't the similarity of the military and political circumstances, but the decision-making mindset: the belief that doubling down on the risk after failure might achieve the victory that the first risk couldn't.And that's why I believe that the upcoming American-Israeli war on Iran, if it happens, will have as one of its main goals the destruction of Iran's oil and gas facilities, and an attempt to topple the Iranian regime by dismantling the economic foundation on which the state's institutions rest.Trump and Netanyahu don't need a guarantee of success in this venture to pursue it. It's enough for them to convince themselves that they have a chance at a quick victory that compensates for their previous losses.And this is the dilemma history teaches us: the most dangerous gamblers aren't those who enter the gamble for the first time, but those who have already lost and are now willing to risk everything just to avoid admitting defeat.