Within Israeli right-wing groups, many are hoping that the new US President Donald Trump will decide to move the US Embassy from Tel Aviv to Jerusalem. In the light of available information, the hypothesis does not appear to be in the process of materializing in the short term, apart from a surprise announcement on the occasion of the visit of Israeli Prime Minister Benjamin Netanyahu to Washington DC.
However, Cyceon advises its readers to prepare for such a potential for “explosive” fallout, literally and figuratively, considering that the topic is drawing increasing attention on behalf of purposeful and hostile individuals and groups on both sides. A sudden increase in violent extremism in the region is likely as the groups claiming it as a means of political action seem to be preparing for it.
Consequently, the potential for tension is currently considerably high in the light of the ongoing Iran and North Korea (DPRK) issues. Financial market professionals should therefore hedge against an instant rise in volatility, mainly on the foreign exchange and commodity markets (especially oil) in case the general context quickly deteriorates.