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Oil and Bond Yields Higher Following First US Attack on Iran in Weeks

U.S. Strikes Two Iranian Rocket Launchers in First Attack in Weeks

US strikes Iran’s Larak Island

Politico reports US strikes Iran’s Larak Island

U.S. forces struck Iran’s Larak Island on Sunday, a U.S. official said, after observing military personnel preparing to deploy rockets loaded with sea mines into the Strait of Hormuz.

“I can confirm that earlier today U.S. forces struck two Iranian launchers on Larak Island,” U.S. CENTCOM spokesperson Capt. Tim Hawkins said in a statement.

Sunday’s strikes in Iran mark the first from the U.S. in a month. Last week, Trump announced in a TruthSocial post that the U.S. Navy removed all mines from the strait’s main shipping lane, and Iran was notified that any new vessels attempting to place new mines would be “immediately and systematically destroyed.

The Wall Street Journal reports U.S. Strikes Two Iranian Rocket Launchers

U.S. forces attacked two Iranian rocket launchers in the Strait of Hormuz on Sunday, marking the first American strike in weeks, the U.S. Central Command said.

The command said that the Iranian launchers, which were deployed on Larak Island, were preparing to fire rockets filled with sea mines into the strait when they were struck.

“Last week, Centcom completed clearing sea mines from the strait’s international shipping routes,” said Capt. Tim Hawkins, the spokesman for the command. “We simply will not allow Iran to emplace more mines.”

Brig. Gen. Hossein Mohebi, a spokesman for Iran’s Islamic Revolutionary Guard Corps, said the U.S. strike was “a strategic and fatal error by the Trump administration” and would lead to “severe repercussions,” according to the country’s official news agency.

Iran Retaliation

Both sides doing avoiding major escalations.

About Using Venezuelan Oil to Fill Reserves

About The Drawdown in Reserves

Market Reaction to the Attack

The market reaction is relatively muted.

Oil is up 1.4 percent, gold down about a half percent, and treasury yields are up much more at the short to middle part of the curve than the long end.

Protracted War

If so, the price of diesel will hit a new record high. That’s only 20 cents away.

Both Iran and Trump are waiting each other out. Politically speaking, Iran gains.

Record high diesel could easily cost Republicans Iowa or Ohio.

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31 Comments
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TEF
TEF
1 hour ago

With the triple threat of the Super El Nina global weather pattern, fertilizer disruption via Hormuz, and diesel supply limitations and cost increases via Russian refineries and elsewhere, 2027 will be a year of great world famine.

RISI Enhanced Diesel ETC (B4NI.DE) fractals suggest a parabolic cost increase of diesel into late Oct/early Nov 2026.

The president’s money is on data centers, currently unpopular in MAGA peon circles … It will be a deservedly rough time for the Trumpist Party’s midterm nominees.

Roadrunner12
Roadrunner12
4 hours ago

Meanwhile SP drawdowns are approaching a level at which going lower than 252 million barrels requires a severe national security declaration.

Less than 300 million barrels left: the engineering limits threatening the American Strategic Petroleum Reserve

“Operating anywhere near the bottom effectively disables the reserve due to a hard legal stop and the loss of emergency flow rates. Under the Energy Policy and Conservation Act, federal law places a strict statutory stop at 252.4 million barrels. Dropping below this number prohibits the President from ordering routine, limited drawdowns. Crossing this limit transforms the reserve from a flexible economic buffer into a restricted emergency asset requiring a severe national security declaration.”



Depleted US oil stash loses potency as Iran war grinds on | Reuters

“Expert says caverns, pumps could be damaged if reserves go below 300 million barrels”

David Heartland
David Heartland
12 hours ago

Two completely inane Presidents in a Row. Who’s up next?

most of you voted for the uniparty all your lives
most of you voted for the uniparty all your lives
11 hours ago

Newsome’s hand gestures would add another flavor of nausea.

El Trumpedo
El Trumpedo
11 hours ago

Whoever it is will get blamed for the mess despite not having made it and trying to clean it up.

David Heartland
David Heartland
12 hours ago

Now they are PILING ON: LIES on top of LIES. It seems to be working, except in our ‘hood, Mish!

J_Schneider
J_Schneider
18 hours ago

Trump’s administration tried to keep Iran off media front pages for 2 weeks. Trade with Canada show was part of this strategy (however the main goal here was to energize MAGA). And now they blew it up and Iran is back on the front page.

US attack on Larak island solved Iranian tactical dilema – attack the US first to get rid of US crippling economic sanctions or wait until US attacks Iran?

The worst thing Trump can do is to return the fire and slip back into regular shoot-outs with Iranians.

El Trumpedo
El Trumpedo
11 hours ago
Reply to  J_Schneider

Then that’s EXACTLY what he’s gonna do.

I’ve seen this movie dozens of times.

Bill
Bill
23 hours ago

You keep saying Iowa but the poll you posted recently showed 60/40 R/D with diesel prices already high. Diesel can eat into profits but most players there, not all of course, are hedged on the fuel side. And with December corn at 5.36 or something like that, given their rains, they are gonna clean up. Iowa Senator staying Red no matter how many times you print it. Wishing it to be so won’t make it so. The governorship may be different as the native Iowan and statewide auditor Rob Sand is popular and has less baggage than Zach Lahn and his out-of-state ties.

Can’t speak for Ohio.

Creamer
Creamer
23 hours ago
Reply to  Bill

We’ve had multiple people who live in farming communities talking about how diesel can’t be hedged any further because of how long it’s been up, and yet you come up with incredible ass pulls like “most players there are hedged on the fuel side”. Where’d you hear that one from?

si vis pacem, para bellum
si vis pacem, para bellum
1 day ago

“When Joe Biden left office there were 394 million barrels of oil in the SPR. Right now there are 289 million barrels of oil in the SPR.”

Yeah and when the Autopen took office the SPR was at 638 million barrels of oil…

Criticizing the current clown while portraying the previous clown as somehow better just goes to show how much of a partisan liar or an ignorant retard people are. And in the Idiocracy that the US is today it’s usually both.

Creamer
Creamer
23 hours ago

Remind me of when Joe Biden started an impossible to win war in the middle east that instantly jacked up the price of oil and kept it there. I remember a pandemic happening, global supply shocks, a lot of stuff… no retarded war.

Is grasping at Biden straws really all MAGA has left? He’s been out of office so long we’re a month away from midterms and yet all I hear on Fox and from MAGA is how Trump’s nonstop retardation should be taken in context of Biden’s struggling.

Brutus Admirer
Brutus Admirer
23 hours ago
Reply to  Creamer

The apparatus for which Biden was the figurehead fomented the US proxy war with Russia without a doubt. The same Epstein class started and loves both these wars in the opposite hemisphere from the one we live in. The US is ruled by a corrupt cancerous organism for which the red/blue team are minor details. The US has initiated war continually since Iraq I.

Creamer
Creamer
21 hours ago
Reply to  Brutus Admirer

Oh now here comes the Ukraine whatabout! Anything but admit precious Donnie’s errors are unforced. Sure we could spend hours going into how Ukraine was invaded and has held up great, but I won’t bother because I’ll just get vatnik slop answers back about how Russia has always owned Ukraine (lie) and how they’re going to be in Kiev any day now, just like they were a few years ago.

Feral Finster
Feral Finster
11 hours ago
Reply to  Creamer

Argument by ethnic slur.

Nice.

Creamer
Creamer
6 hours ago
Reply to  Feral Finster

The vatnik ethnicity? Maybe you should take some Russian classes before you run your gums you pendosi shill.

Neil
Neil
17 hours ago
Reply to  Brutus Admirer

In this century, true wars (Afghanistan, Irak, Iran) were started by Republican presidents. Biden didn’t start any war afaik, and Obama bombed Syria and Libya but didn’t move for a full on war (clever!).

Afghanistan you could sort of understand because of the 9/11 attacks and the emotion that brought, plus the Afghan reluctance to hand over Bin Laden, but Irak and Iran are wars that were started on a bad pretence and with bad planning, and fully owned by Republican presidents. The lesson is simple there is a difference in how war like each party is: don’t vote Republican if you don’t want new wars started.

Last edited 17 hours ago by Neil
Brutus Admirer
Brutus Admirer
12 hours ago
Reply to  Neil

Clinton bombed the crap out of Serbia and expressed great regret that he didn’t get to preside over more war.

Rendering Libya a failed state and initiating a “civil war” in Syria to put an Al Qaeda guy in charge is not the limit of Obama’s war activities; he killed thousands with missiles and drones and he pursued the “surge” in the idiotic 20-year war on Afghanistan.

If Biden didn’t push to get NATO missiles on Russia’s borders, then no war. That simple. And it was known for 30 years as the Russian line in the sand–not an unreasonable one either.

The war machine & Zionists own both parties. They are like separate marketing depts., maintained to create the illusion the sheep have some say.

Last edited 11 hours ago by Brutus Admirer
Creamer
Creamer
6 hours ago
Reply to  Brutus Admirer

I seem to ask you this a lot Brutus: What was Serbia doing again? Picking flowers? Or is genocide only bad when Israel does it so we can hear another line about the baby eating Jews.

CJW
CJW
22 hours ago

Are you really arguing about which president was the bigger moron? Just get someone in there who has an ounce of political intelligence and is willing to listen to the people and his advisors, oh ya and not corrupt, If he’s republican fine, if he’s democrat fine, but someone please…….! Is this now too much to ask?

Sigh, I guess that is why gold is $4500 an ounce.

top gnome
top gnome
14 hours ago
Reply to  CJW

you should see if the Canadians will let you borrow Carney

njbr
njbr
22 hours ago

“Autopen”

chuckles at the stupidity

Tollsforthee
Tollsforthee
12 hours ago
Reply to  njbr

Really! Like Trump hand-signed all 1600 Jan 6th pardons.

Trumps’s short, simple insults are very effective for his cult members.

Tom
Tom
16 hours ago

“But Biiiiden”

Seriously? That’s all MAGA can say anymore like a broken record.

Maybe there would be a better stat on the SPR if Trump hadn’t started an illegal war based on lies from Israel. That’s not unreasonable. After all, that’s what he campaigned on.

Feral Finster
Feral Finster
11 hours ago

One can point out Trump’s lies, mendacity and crime without praising Biden.

By the same token. one can point out Biden’s lies, mendacity and crime without praising Trump.

Each can confess their own sins.

Last edited 11 hours ago by Feral Finster
peelo
peelo
1 day ago

Meanwhile, on the home front, I wonder how many paper shredders and digital wipe programs are running 24/7.

I’m back robbyrob
I’m back robbyrob
1 day ago

“Success is relative. It is what we make of the mess we have made of things.”
― T.S. Eliot 

PapaDave
PapaDave
1 day ago

Interesting that Iran put the two launchers on Larak island. They could have launched into the strait from land based locations. This tells me that they were planning on possibly launching toward Fujairah, where the ship-to-ship transfers are taking place. Fujariah is reachable from Larak, but not from the mainland. The missiles with mines have a max range of 130 miles.

Pedro
Pedro
14 hours ago
Reply to  PapaDave

I’d bet there is also a component of goading the US into first action to keep up the pretense that they are just defending themselves while they try to inflict pain on trump politically through military action

most of you voted for the uniparty all your lives
most of you voted for the uniparty all your lives
11 hours ago
Reply to  Pedro

You’d bet they’re goading Trump by putting their missiles on their own territory located on the other side of the gkobe, after Trump assassinated their leaders and kills their children. Curious framing.

Tony Frank
Tony Frank
1 day ago

No doubt, taco gave his followers a tip prior to the invasion.

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