An Israeli source has indicated that the Mossad believes a return to war could hasten the decline of the Iranian regime, potentially leading to its collapse. This sentiment may influence risk appetite in the region, as heightened military tensions could lead to increased volatility in Middle Eastern markets. Assets most exposed include Israeli defense stocks and Iranian oil exports, which could face disruptions amid escalated conflict. Traders will be particularly attentive to any developments regarding military engagements or diplomatic negotiations in the coming weeks, as these could significantly impact regional stability and market dynamics.
Israeli source: Mossad sees that returning to war will accelerate the deterioration of the Iranian regime, leading to its downfall
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