The News Trickle Will Soon Become a Flood

Back at the end of January, I wrote about what I believed to be the first shot fired in the war with Iran. It was a little covered story about Swiss banks refusing to do business with Iran. While it seems a minor thing, it is major in how it impacts Iran's finances.

As I wrote back then, it could be the opening shot in a war that is just getting started and will no doubt grow. While the media is making a big deal about Iran lately, no one has mentioned too much about the military options. I of course mentioned that I believe Iran to be one of the possible tipping points of 2006.

Now today I read from no less than three newsletter writers that things are heating up over there and all three writers are concerned about impending military action. They must read my blog.

Here are the news items. Iran has announced that they have started their nuclear accelerators. These large pieces of equipment are used to enrich uranium. Enriched uranium is needed for fuel and bombs. Most of the media are announcing that it will take Iran ten years to build a bomb. As a result of this thoughtful analysis, they see no need to talk war just yet.

Let me ask the question, how long did it take the U.S. to build the bomb during WWII? Ten years? Nope, four years. And that from scratch, with no knowledge of how to build a bomb or if it was even possible. Iran not only has the nuclear engineers that have the knowledge and blueprints for such bombs, but they have the accelerators as well. Ten years? Try two months, tops.

When you factor in Iran's comments regarding Israel, you just add fuel to the fire. Israel is surrounded by millions of Arabs who would like nothing better than to destroy them. I can imagine that Israel feels backed into a corner, or more accurately the ocean. They will not allow Iran to build a bomb. Period.

Today, Syria, who by the way has a mutual defense treaty with Iran, has announced that they will begin using the Euro instead of the dollar for all international trade. Couple this with the much anticipated opening of the Euro denominated oil bourse in Iran and you now have our leaders stressing over the insolence of these renegade countries. How dare them openly defy the most powerful country on earth?

Get the picture? We are now nearing a point of no return. A point where negotiation will no longer be possible. Rumor has it that the U.S. has been planning for military action for several months now, just in case.

One writer predicts the bombs to start falling before the end of March. Another says the end of August. Me? I have no way of knowing. But I think that when it happens, it will wreak havoc on the world economy. This tipping points has now moved up to occupy the number one spot on my list. Get your financial house in order.