30 Aug 2013
Flash: US headed to war? – Deutsche Bank
FXstreet.com (New York) - Markets have had another choppy week driven by geopolitical tensions, emerging markets weakness and thin liquidity, note Macro Strategy Analysts J. Reid and C. Tan at Deutsche Bank.
Key quotes
“On the geopolitical side, President Obama is reportedly prepared to move ahead with a limited military strike on Assad forces even without the support of its key allies. This comes after the rejection by the UK House of Commons of Prime Minister Cameron’s motion urging an international response to the Assad regime.”
“Although the vote is non-binding, Cameron has said that he will be respecting the will of the House of Commons. French officials also are calling for a delay in action until UN inspectors conclude their report (Washington Post). Newswires suggest that a US strike could occur as soon as UN inspectors leave the country on Saturday. Meanwhile, Russia is sending two warships to the east Mediterranean, Interfax news agency said on Thursday, but Moscow said it was part of a normal rotation and denied this meant it was beefing up its naval force there.”
Key quotes
“On the geopolitical side, President Obama is reportedly prepared to move ahead with a limited military strike on Assad forces even without the support of its key allies. This comes after the rejection by the UK House of Commons of Prime Minister Cameron’s motion urging an international response to the Assad regime.”
“Although the vote is non-binding, Cameron has said that he will be respecting the will of the House of Commons. French officials also are calling for a delay in action until UN inspectors conclude their report (Washington Post). Newswires suggest that a US strike could occur as soon as UN inspectors leave the country on Saturday. Meanwhile, Russia is sending two warships to the east Mediterranean, Interfax news agency said on Thursday, but Moscow said it was part of a normal rotation and denied this meant it was beefing up its naval force there.”