Jaded Sage:

Last week we saw McCain, Clinton and Obama all speak before AIPAC (American Israeli Public Affairs Committee). As a Presidential candidate, no matter your true feelings about Israel, it is imperative to have the Jewish lobby on your side. It is very similar to the fact you must proclaim to be Christian to be President of the United States (or hold significant office anywhere in the US). So there they were, all three, telling the group before them their intent to protect Israel. Even Obama promised to maintain Jerusalem in Israeli hands, an issue the Palestinians (and all Muslims) have a tough time swallowing. Jerusalem is, after all, the third most holy place in Islam. I have always contended that our marriage with Israel is bad foreign policy. By no means do I believe we should abandon the Jewish nation, but our overt support of the state over the Palestinians makes us less safe. Other than regional intelligence provided by MOSAD (the Israeli version of the CIA) Israel doesn’t offer much in the way of a strategic advantage for our support.

The danger of our commitment can easily be seen with what happened on Friday. Friday was a nexus of events and history that renders it significant. First off Friday was June 6th and for anyone who is worth their salt knows the day has historical relevance. June 6th was D-Day, the date the Allies stormed the beaches of Normandy in 1944 which began the liberation of Western Europe. D-Day is perhaps a pertinent phrase for what happened in terms of the economy yesterday. I’ll let Steely Dan provide some appropriate background music.

Yesterday could be labeled a nouveau Black Friday. Gas prices shot up $10 per barrel on Friday in the wake of a $6 increase the day before as the price topped $138 at the end of trading Friday. This sent the stock market tumbling 400 points. What caused these events?

It was largely caused by a statement that came out of Israel.

Israeli Transport Minister Shaul Mofaz said, "If Iran continues with its program for developing nuclear weapons, we will attack it. The sanctions are ineffective." This statement along with the weakening dollar set Friday in motion.

This leaves us with a couple questions. First, what would be the results of an Israeli attack on Iran? And second, why are we, the most powerful nation on the planet, in a position where a second rate Israeli minister can affect the US economy in such a way?