The Boiling Cauldron

It looks like the heat has been turned up on the boiling cauldron that is the middle east. This mourning, at about 10:30 A.M Iraqi time, Iran seized 15 British sailors and marines who were conducting a routine boarding operation in Iraqi waters.

The British ship was conducting a routine check of a merchant ship when it was surrounded be Iranian vessels and escorted into Iranian waters. Tony Blair, as expected, has called for the immediate return of the soldiers and ship.

This news comes on the eve of a United Nations Security Council vote of a draft that would freeze assets of an Iranian state owned bank. The draft would also include a halt to some exports. Coincidence, I don't think so.

As a result of this incident, oil is trading in and around $62.50 /barrel. We can expect to see little incidents like this cause a spike in oil prices, but let's look at the big picture. What happens if Iran were to capture some U.S. or Israeli soldiers. Believe me when I say, we are BEGGING for an excuse to invade Iran. Iran has inadvertently attacked the U.S. by supplying arms to local insurgents, and the same story goes for Hezbollah and Israel. The cauldron is boiling and don't expect it to cool down anytime soon.