logo

FX.co ★ Saudi Arabia looks for US support as Iranian attacks looming

Saudi Arabia looks for US support as Iranian attacks looming

Saudi Arabia looks for US support as Iranian attacks looming

The recent decision of Saudi Arabia to cut oil production by 2 million barrels per day made Washington furious. Although the US has repeatedly urged the Kingdom to ramp up oil output, the OPEC + led by Saudi Arabia went on with more cuts. This was a bad move for the US which is struggling with soaring gasoline prices. Surprisingly, Turkey and China have also sided with the Saudis in a deepening standoff with the US even though a reduction in oil production is against their economic interests. Right after the OPEC + decision, Joe Biden warned there would be consequences. At the same time, both states have decades-long security relationships, with the US being committed to protecting its strategic partners in the Middle East, particularly against Iran. Now in the face of a new threat, the somewhat sour relationships between Washington and Riyadh got a chance to improve. The recent reports from Saudi intelligence warned of imminent attacks on targets in Saudi Arabia prepared by Iran. In response to the warning, Saudi Arabia and the US have raised the level of alert for their military forces. The White House said it remained in constant contact through military and intelligence channels with the Saudis. “We will not hesitate to act in the defense of our interests and partners in the region,” the US National Security Council spokesperson said.


*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade
Go to the articles list Open trading account

Comments: