Did the Israel-Hamas war any effect on the world?

My first impression on the Israel-Palestinian conflict was in the 80s when I was attending my General Paper class. Even at the end of the session, I still had little idea what it was about, except for continuous conflict with Palestine Liberation Army (PLA) conducting terrorism against Israel. The part of the session include a discussion on the justification for terrorism.

I am reluctant to go through the whole chain of event leading to spiraling conflicts between the 2 races, I will just attach this video that I believe is relevant to the subject.

Video: From Palestine to Israel

Many years has passed with the level of terrorism on the decline, Hamas replaced the PLA in leading the Palestinian to fight against Israel. They managed to secure the governance of Gaza strip with manifesto of eliminating Israel from surface of the earth.

They practically brain washing the population of Gaza to fight against Israel, focusing their resource into training militias to prepare for programs disrupting Israel.

Last week, Hamas conducted a major attack on Israel, launching over 5,000 rockets into Israel territory and incursion into settlements as well as a concert event, killing and capturing hostages in hope to leverage in later negotiation with Israel.

Their incursion led to a short lived worldwide Muslim celebration of the mishap experience of Israel with call for Jihad. They highlight the suffering of the Palestinians while critical of Israel's treatment. It is only after the revelation of level of cruelty Hamas exhibited that all these celebrations were silenced.

As expected, Israel retaliated with even more aggressive counter strike on Gaza, vowing to eliminate Hamas from earth. Gaza was bombed continuously with few leaders of Hamas being assassinated. The residents of Gaza were told to leave their cities and they were pushed to move south towards Egypt border, which is closed.

Hamas on the other hand threaten to kill the hostages should Israel attach. It is to me a cowardice act.

I do not support Hamas, neither do I side with Israel. They were at each other's neck for years. The present generation of Palestinians and Israel are in fact tasting the fruits of their processors, and what they are doing will only deepen the hatred against each other in coming generations. 

I think of all who harm the Palestinians, Hamas is the worst. Their action does nothing to help improve the lives of Palestinians in Gaza who chose Hamas to lead them. Instead of channeling the resources to improve the lives of Gaza, they spent the money on militia trainings, building missiles and paragliders. 

Have they even projected the effect their attack on Israel? It is not going to cause much damage to Israel, it will just be like a mosquito trying to suck some blood, causing very little damage while causing much annoyance. Palestinians would have turned out having much brighter future should all these resources are spent on educating their future generations and improving their economy.

I am not in Favour of the leadership from Israel neither. I think Netanyahu government is despicable when they continuously instigate hatred between the 2 raced by building settlements in Palestinian land. They systematically marginalized the Palestinians in the process.

It is also noted in this round of conflict that Israel was warned more than once about the potential attacks. Yet it is quite a surprise that they are unprepared at all. Is it complacency or incompetence on Israel part? Or is it something else.

I am in doubt that Israel would be so incompetence, and they are complacence. I suspect the Netanyahu government let it happen to justify their action against Hamas. They will use the victims of the attack as the reason for their counter attacks. It is even possible that Netanyahu is using this to centralize power for himself. 

This is exactly what Hamas is doing at the same time, calling victimhood over the air raids from Israel and calling the Muslim world to initiate Jihad.

Both want a show down.

Will the war between them affect the world? I watched a news article which they interviewed an Israelite economist. He mentioned that Israel's economy does not play much significant to the world, there is no oil, and very little export. Israel is relatively self-sufficient when it comes to military supplies, even though it is also receiving support from its western allies.

However, war by itself is an economical event, it uses up resources and cause price to rise up. With the war in Israel, it may lead to escalation of inflation. To prove the possibility of this, let's look at the inflation indicator, gold.

Fig 1. Gold weekly chart

Gold was in fact on the rise since September 2022, it went into congestion downward by May 2023 and by the end of last week supported by the 144-week moving average at 1,822 closing at 1,831. Hamas attacked on Friday and gold shot up on Monday morning breaking through the moving average resistances.

It was only stopped by the trend resistance, closing at 1,932. If this guy breaks this level by the coming week, the tendency of further uptrend is high.

Where are the resistance should this happen?

 The more immediate resistance will be the Bollinger envelop at 1,985. Should this be broken, it will head for 2,105 to 2,184.