SD Exclusive | War Drums Beating Louder and Louder

Iran, North Korea, Russia, and now…China???

As the markets take pause over the next couple of hours in preparation for the Fed headline and consequent market tape action at 2PM EST, war drums are sounding all over the place.

Just a reminder that all is not well with geo-politics, and every nation is stating it’s case!

Is this the distractive news of the day?  Russia, China, Iran, North Korea, oh my!

The headlines are zipping across the wires so fast that it’s hard to see who is on who’s side.

There is this RT Article: CIA chief: China tops Russia & Iran as biggest long-term threat to US

So just in case you were wondering, and just in case we didn’t have enough drummers on this football field, China is our threat.  But what is long term these days anyways?  From RT:

Speaking to the Washington Free Beacon, Pompeo marked terrorism and North Korea as the biggest short-term threats to US security interests, but selected China, Russia and Iran as mid-to-long-term concerns.

“It’s hard to pick between China, Russia and Iran to be honest with you. I guess if I had to pick one with a nose above the others, I’d probably pick China,” he told Bill Gertz, the Beacon’s senior editor and national security reporter.

ZeroHedge is reporting on possible North Korean Attempt to launch an ICBM as early as tonight, and in customary fashion, we are told to keep an eye on the Asian FX pair trades, especially USDJPY, USDKRW, and AsiaFX.  The only problem is that:

“North Korea continues to defy the US and China’s demands to stop”

And just when we thought we were safe from the Russians, CNN kindly reminds us in a bright red banner “ News Alert” that hearings on Russian election meddling are indeed alive and well, and you can even watch it live as well (no pun intended and in all seriousness):

We have the War drum trifecta going.  But why stop there.  Seems like we need something on Iran just to make sure we have all our bases loaded.

And since we like the markets here at SD, why not get the market slant on the geo-political hostilities straight outta Bloomberg: Iran Says ‘Hostile’ U.S. Sanctions Vote Undermines Nuclear Deal

“Hostile” is one of those words that trigger-pullers use.  You know, that whole “escalation of force” factor?  And with the words “hostile” and “nuclear” right there in the title, seems like obvious escalation of force albeit ambiguous as to the immediacy of the treat.

More from Bloomberg:

Iran will “certainly respond” to this “blatantly hostile undertaking” against it, said Araghchi, who was a member of the Iranian team that negotiated the 2015 deal with world powers.

All of these articles are coming fresh off of recent tests of the United States THAAD Missile Systems, impressive Alaskan and California defensive AND offensive missile capabilities, and a possible resulting oil price that just doesn’t know what to do with all of this:

(WTI 4-Hour Chart Source: ThinkorSwim)

So on a day when the Fed is kind of in a pickle, but at least not having to explain their reasoning by means of a press conference, having the bases loaded and the war drums beating seems appropriate.

When the bases are loaded, most teams like to hit a grand slam.  Is there a grand slam coming?  Syria was in the news all election year long, and this year, well, not so much.  However, the more headlines and the more countries that start coming across the news tickers, the more dangerous things become.  As Gerald Celente frequently states, “when all else fails, they take us to war”.  Question is, has all else failed?  We will find out soon enough if things are holding together or not.  

For the inner cynic in you, now would be a nice time to scoop up a couple Silver Shield rounds and just roll with it.  Better yet, take pride in your country and pride in your stack with the SD War Collection.

Those will certainly come in handy after the missiles stopped flying.

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