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President Donald Trump is reportedly considering a limited initial air strike against Iran to compel compliance with US and Israeli demands. The potential military action aims to force Tehran into a new agreement regarding its nuclear enrichment and ballistic missile programs. According to reports from the Wall Street Journal and Reuters, the Pentagon has also prepared contingency plans for a sustained military campaign targeting security and nuclear sites. In response, the Iranian government has warned it may abandon its policy of strategic restraint and retaliate with full force if attacked. These geopolitical tensions are creating significant uncertainty across global financial markets, particularly regarding Middle Eastern stability and energy supply chains. Market analysts anticipate a flight to safety, potentially boosting XAU/USD and oil prices while weighing heavily on equity indices like the SPY.
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