Cash for Iran

The recent chest-thumping by Iran has nothing to do with any potential military confrontation with the United States. The real issue is money.

Iran may have quite a few “straw” companies buying and selling oil futures. When it threatens to close the Strait of Hormuz, commodity markets will interpret that as a potential disruption of the oil supply. Therefore, oil prices will jump, and Iran will profit by selling its options on the world markets through those straw companies. This would ease the financial restrictions being imposed by Western powers.

Saul S. Rabia, Miami

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