Israeli Army says it has begun attacking Hezbollah infrastructure in Bekaa Valley and in several areas of Southern Lebanon

Context

The Israeli Army's offensive against Hezbollah in Lebanon marks a significant escalation in regional tensions, potentially influencing energy and safe-haven asset markets. This could lead to heightened volatility in currencies like the USD and JPY, given their roles as havens, while prices for commodities such as oil and gold may react to perceptions of increased risk or supply disruptions. Traders should watch for further developments that could impact market sentiment and cross-asset correlations.

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