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    Home»Economy»Israeli Elections | Armstrong Economics
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    Israeli Elections | Armstrong Economics

    October 28, 20264 Mins Read
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    As I warned, Prime Minister Benjamin Netanyahu would try to start some new conflict with Iran in advance of the election. There were serious concerns he might even try to nuke the Iran nuclear facility ahead of the election if he thought he woud  lose. What did happen was an unprecedented dispute erupted between Netanyahu and IDF Chief of Staff Eyal Zamir over a proposed military operation against Iran that could trigger an immediate confrontation, according to Israeli Channel 12.

    Zamir refused to proceed without a comprehensive security assessment, legal clarification and signed authorization from Israel’s political leadership. Military officials fear Netanyahu could exploit tensions with Iran for political advantage ahead of Israel’s elections, potentially triggering a dangerous escalation all for personal gain. A senior Israeli defense official said, “History will not forget the role Zamir played in recent days.”

     

     

    Exit polls by Israeli broadcasters show no clear winner in today’s elections, with one by Channel 12 indicating that Prime Minister Benjamin Netanyahu’s bloc is on track to have 50 seats, while rival Gadi Eisenkot’s bloc is on track to have 52. The Knesset has 120 seats, so a coalition needs a minimum of 61 before being approved by the president.

    The vote was the first nationwide election since the Hamas-led attacks of Oct. 7, 2023, which Netanyahu has said was the deadliest day in the country’s history. But Egypt has insisted that they warned Netanyahu and hr took no action, which many have viewed was a way for him to launch his attack on Gaza.

    Netanyahu is facing one of the most significant electoral tests of his decades-long political career after three years of war, crisis and global outcry over the country’s military campaign in the Gaza Strip.

    Turnout was the highest in more than two decades at 77.7%, Israel’s Central Elections Committee said. Polls closed at 10 p.m. (4 p.m. ET). Netanyahu’s opposition wants peace and to end this constant warfare. Like Brazil, Europe, USA, and Canada, everywhere you look the political divisions are becoming very stark. This is all part of the path to political change coming by 2032.

    Iran 72 Russian Revolution

    June 2025 Attack on Iran F

    There is a serious risk that a Democratic victory in November will change the relationship between the US and Israel. The computer shows that it appears to be continued war into 2028. We have a Panic Cycle in 2028 in Crude Oil so this election does not appear to signal peace ahead. I warned that the Iranian Revolution Cycle turned in 2025 with the start of this war. The United States attacked Iran on June 21, 2025 (Washington time), targeting three nuclear facilities. The strikes hit the nuclear sites at Fordow, Natanz, and Isfahan. This became known a “Midnight Hammer.” That attack aligned with the bottom of this cycle was the WORST POSSIBLE DECISISON for this did not topple the government, but invigorated it and has been leading to unity. Our computer picked it up a week in advance also showing the rise in volatility that extended into the following week.

    iranian Rial M Array 7 7 26

     

    Here are the Arrays from July and the current from October. Both were showing a rise in volatility would come in December. However, the July array showed a Directional Change in August. The shift in Trump’s stance toward Netanyahu appears to have begun around August 2026, with the distancing becoming more pronounced by September 2026. Reports from mid-August indicate that Trump was already withholding a political endorsement and that the relationship had cooled. Axios reported that the rift had been widening over the “past three months” (pointing back to around May), but the public withholding of support became a clear signal in August. A Newsmax report from August 14 noted Trump’s reluctance marked a shift from the spring when he was expected to back Netanyahu without hesitation. The computer picked that up with the Directional Change in August.

    iranian Rial M Array 10 27 26

    Now turning to the current Array, here we have back-to-back Directional Changed ibn October and November. This most likely indicating a Democratic victory taking the House in November, which may lead to Netanyahu fulfilling his dream toppling Iran. The volatility will rise significantly from December going into March, we we also see a sharp rise in Diesel fuel costs as well.

    So buckle up. Between Netanyahu and Zelensky, the first quarter of 2027 should bring some interesting market trades.

     



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