
How Bombing Iran Can Set Back Non-Proliferation
Donald Trump seems on the cusp of ordering B2 bombers to join Israel's assault on Iran's nuclear program. It could all be a bluff, of course, but I suspect Benjamin Netanyahu knew his man. The appeal of being the US president who finally ended the threat of a nuclear-armed Iran – as opposed to the one who Taco'd out of helping Israel to get there – will be strong.
Should that happen, Iran's Supreme Leader Ali Khamenei will have multiple options: He could attack US bases, set Saudi oil refineries ablaze or close the Strait of Hormuz. Or, he could do nothing, hoping to avoid an all-out war he could never win. He might cut a new deal, abandon nuclear enrichment or build new enrichment cascades even deeper underground and dash for a bomb. Such are the unknowns that can produce the forever wars that nobody ever intends.
The one thing that does seem clear, however, is that the Israeli and now potentially US decision to bomb a threshold nuclear power to its knees will have significant implications for arms proliferation.
The optimistic case is that those B2s fly the roughly 7,000 miles from their base in Missouri to drop 30,000 pound (13,600 kilogram) Massive Ordnance Penetrator bombs on Iran's deeply buried uranium-enrichment facility, at Fordow, near the holy city of Qom, and obliterate it. With Israeli jets already taking care of less hard-to-reach targets, and assuming no secret factory gets missed, the Islamic Republic would have to restart its uranium-enrichment program from scratch.
That should dissipate or at least postpone the risk of a regional arms race. For if Iran doesn't have a nuclear arsenal, there'd be no imperative for Saudi Arabia or Turkey to get one, too. At least, that's among the key justifications for taking military action that proponents in Washington and Israel have long made.
Israel has its own reasons for preventing Iran from getting the ultimate weapon, which would pose an existential threat in implacably hostile hands. That doesn't apply for the US. Its interests are more focused on these regional proliferation calculations — a difference that may help explain the reluctance of successive American presidents to back Israeli plans for airstrikes.
But a more positive regional outcome is hardly guaranteed. It isn't just that the MOPs could fail to blast through a mountain to the cascade chambers at Fordow, leaving Iran's neighbors to assume the worst — that the regime would dash for a bomb to ward off future attacks. That's especially true if Iran should, as some officials have threatened, kick out international inspectors and withdraw from the 1968 Treaty on the Non-Proliferation of Nuclear Weapons, or NPT.
A less cheering interpretation is that no matter how successful the attack, it will reinforce for governments around the world the lesson that a working nuclear arsenal protects you from getting bombed or invaded. That was illustrated by Libya in 2011, Ukraine in 2022, and now Iran in 2025. Iran's fellow pariah state North Korea, meanwhile, remains free to taunt the US and its allies, because it already has the bomb.
There's a bigger trend and context to this scenario, because the NPT looks increasingly like a document from an earlier era. It's going to lose potency as we move from a rules-based order to one in which stronger countries assert their perceived national interests, regardless of international laws and treaties.
This is the world in which China, in 2016, simply dismissed international arbitration that rejected its claims to own the South China Sea and all islands within it, up to an imaginary 'nine-dash line.' It's the world in which Russia claims a right to invade Ukraine in breach of multiple treaties and agreements, and is willing to threaten a nuclear strike in pursuit of this territorial conquest. Meanwhile, the main architect of the rules-based order, the US, is now declaring intentions to take over Canada, Greenland and the Panama Canal.
Arms control, too, looks out of fashion. China's adding 100 warheads to its arsenal each year, while most of the established nuclear powers have announced programs to update or expand theirs. New Start, the only remaining nuclear arms-control treaty is due to expire next year and there's no sign of any negotiations to renew it.
In this environment, it becomes increasingly appealing to have your own nuclear weapons. What else could protect against apex predators such as China, Russia and the US? Or from the regional hegemon that Israel is fast becoming?
'Some will bandwagon with stronger states while others may decide to balance with the only truly powerful asset, nuclear weapons,' Nikolai Sokov, a nuclear negotiator (for Moscow) during the Cold War and now senior fellow with the Vienna Center for Disarmament and Non-Proliferation, told me. 'We are talking years, of course, so neither Trump, nor Netanyahu will be answerable or will have to deal with consequences.'
Should Trump decide to join Israel in bombing Iran's fuel-enrichment facilities (another first), it may well have no discernible short term effect on proliferation. Added together, the world's nuclear arsenals already store 14,000 times the power of the one dropped on Hiroshima, and that figure is rising all the time. But while setting back one nuclear program, the attack on Iran will very likely add to a gathering momentum for more.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


The Hill
11 minutes ago
- The Hill
Israel, Iran trade strikes as Trump weighs US military involvement
Israel and Iran traded strikes on Friday as President Trump weighs the possibility of U.S. involvement and European officials seek to revive nuclear negotiations with Tehran. Israel said it hit 60 Iranian aircrafts early Friday morning along with the headquarters of the Organization of Defensive Innovation and Research, which carries out nuclear weapons research, according to the Associated Press. Iranian media said Israel's strikes also hit the city of Rasht on the Caspian Sea early Friday. Reuters reported that at least one Iranian missile struck Beersheba, Israel's largest southern city, early Friday, ripping off the facade of at least one apartment complex and leaving a crater in a residential area. CNN reported it struck close to a tech park that houses a Microsoft office. Iran also struck near civilian sites in Haifa, injuring more than a dozen people and sending residents running for cover in a shopping mall, CNN reported. That followed an Iranian strike on Thursday that struck a hospital in Beersheba, wounding at least 80 patients and medical workers, according to Israeli officials. Israel's defense chief accused Iran of war crimes and said Supreme Leader Ayatollah Ali Khamenei would be held accountable for the attack. The Israel Defense Forces (IDF) launched overnight bombings in the heart of Tehran, along with the cities of Tabriz and Kermanshah, hitting 'missile storage and launch infrastructure components,' according to the AP. 'We are strengthening our air control in the region and advancing our air offensive,' Israeli military spokesperson Brig. Gen. Effie Defrin told reporters, according to the AP. 'We have more sites to strike in Tehran, western Iran and other places.' Secretary of State Marco Rubio and Steve Witkoff, Trump's special envoy to the Middle East, met with Britain's foreign secretary on Thursday to discuss diplomatic efforts to end the conflict. Iran's Foreign Minister Abbas Araghchi is slated to meet with European leaders in Geneva to discuss a new nuclear deal. Iran earlier this month rejected U.S. proposals to effectively end its nuclear program, and move enrichment facilities outside the country. The White House on Thursday released a statement from President Trump saying he would decide within two weeks on whether to join Israel's war. Israel is pressuring the U.S. to deploy it's 'bunker buster' bombs on Iran's Fordo uranium enrichment facility, which is key to its nuclear program and buried deep inside a mountain. While Trump has been publicly non-committal on resuming talks with Tehran, Araghci said Thursday the U.S. is pushing for diplomacy behind the scenes. 'It is the Americans who want talks,' he said, according to AP. 'They've sent messages several times — very serious ones — but we made it explicitly clear to them that as long as this aggression and invasion continue, there is absolutely no room for talk or diplomacy. We are engaged in legitimate self-defense, and this defense will not stop under any circumstances.' Earlier this week, Trump urged civilians to evacuate Tehran immediately, as the U.S. ordered a third U.S. Navy destroyer to the eastern portion of the Mediterranean Sea. Prime Minister Benjamin Netanyahu, speaking near the damaged Beersheba hospital, said he trusted that Trump would 'do what's best for America.' 'I can tell you that they're already helping a lot,' he added.
Yahoo
14 minutes ago
- Yahoo
An inflation surge could swamp Trump's presidency. This one investment will keep your money safe.
America's financial outlook has darkened under President Donald Trump's leadership. All three major credit-rating agencies now rank U.S. federal debt one notch below triple-A, and Jamie Dimon, the chairman and CEO of JPMorgan Chase JPM, has warned of a crack in the U.S. bond market. With the 10-year U.S. Treasury yield BX:TMUBMUSD10Y at 4.4% on Wednesday and the 30-year rate BX:TMUBMUSD30Y at 4.9%, holders of nominal U.S. debt should be prepared for significant real losses. The principal risk is not U.S. sovereign default, but rather unexpected increases in medium- and long-term interest rates, owing to market expectations of higher inflation. Fiscal policy under Trump is unsustainable, as it was under former President Joe Biden — but even more so if the Trump administration's 'big, beautiful' budget passes in anything like its current form. 'I'm at my wit's end': My niece paid off her husband's credit card but fell behind on her taxes. How can I help her? Why the biggest-ever 'triple witching' options expiration could deliver a jolt to Friday's trading Israel-Iran clash delivers a fresh shock to investors. History suggests this is the move to make. 'I prepaid our mom's rent for a year': My sister is a millionaire and never helps our mother. How do I cut her out of her will? I'm 75 and have a reverse mortgage. Should I pay it off with my $200K savings — and live off Social Security instead? The January 2025 Financial Report of the United States Government makes this clear. The U.S. ratio of federal debt held by the public to GDP at the end of the 2024 fiscal year was around 98%, although $4.7 trillion of the $28.3 trillion in federal debt was held by the Federal Reserve — meaning it is erroneously categorized as held by the 'public,' when really the central bank's accounts should be consolidated with those of the federal government. Under current policy and based on the report's assumptions, federal debt held by the public would reach 535% of GDP by 2099. Stabilizing the U.S. debt-to-GDP ratio requires that the annual primary federal deficit (excluding interest payments) fall by an average of 4.3% of GDP over the next 75 years. And yet, the federal deficit and primary deficit were 6.4% and 3.3% of GDP, respectively, in fiscal-year 2024 — far above what can be justified with the economy near full employment. Read: America's debt is at a breaking point — Trump's tax bill might just push it over the edge With the U.S. Congress so dysfunctional, no one has any faith that it will deliver the required deficit reduction. Democrats do not do permanent spending cuts, and Republicans do not do permanent tax increases. The federal government does own about 28% of U.S. land (roughly 640 million acres), as well as other real commercial assets that could yield significant additional nontax revenues if properly managed. But neither party — nor even the misnamed Department of Government Efficiency — appears to have considered this option, so the federal deficit as a share of GDP is likely to rise over the next few years. With no foreseeable improvement in fiscal policy, there are two possible outcomes. First, the U.S. government could default. There has long been a small, but recurrent, risk of a technical, short-lived default if Congress fails to raise, suspend, extend, revise or abolish the federal debt ceiling on time. Fortunately, it has averted this scenario 78 times since 1960, and we expect it to continue doing so. As matters stand, the debt ceiling (including debt held by federal agencies) is set at $36.1 trillion, and debt subject to the limit is also $36.1 trillion. If needed, the Treasury has a highly liquid asset (the Treasury General Account held with the Fed) worth $332.9 billion that it can use to meet its obligations, and it may temporarily use 'extraordinary measures to continue to borrow additional amounts for a limited time.' The second, more likely possibility is that the Fed will monetize enough federal debt to prevent default. Since U.S. federal debt is serviced in dollars, 'printing money' is always an option. But, as the Fed well knows, a large-scale monetization of federal debt would result in significantly above-target inflation. We believe the Fed will do this without its operational independence being revoked by Trump. To get the Federal Open Market Committee to do something it does not want to do, the president would need to control the majority of its 12 voting members. These include the seven members of the Federal Reserve Board of Governors and five (out of 12) regional Federal Reserve Bank presidents who vote at any given FOMC meeting. Neither the president nor Congress can appoint or fire Federal Reserve Bank presidents. The Board of Governors must approve them, and only the board can remove them. The president nominates board members, but the Senate must confirm them. Board members' current term limits imply that, assuming none are fired, Trump will have the opportunity to nominate only two new members. True, with the power to fire board members 'for cause' — meaning 'inefficiency, neglect of duty, or malfeasance' — Trump could try to replace a majority of the members with loyalists. But this seems unlikely. Whether the 'for cause' criterion has been met will be contested in the courts, and the Senate would have to confirm Trump's appointees. Read: Trump's pick to replace Fed Chair Powell could rock your mortgage and retirement. Buckle up. Similarly, Congress could revise the Federal Reserve Act to replace the Fed's monetary-policy objectives with a mandate to buy or sell sovereign debt according to the wishes of the Treasury. But this, too, is unlikely. And the same goes for a scenario in which the Treasury sets a rapidly depreciating exchange-rate target for the dollar DXY that can be achieved only through large-scale Fed purchases of U.S. public debt that generate high inflation. However, fiscal dominance — indeed, fiscal capture — is very likely, because the need to avoid a domestic and global financial crisis will force the FOMC's hand. It will do whatever is necessary to prevent a U.S. government default, because the Fed's financial-stability mandate (the Financial Stability Act of 2010 mentions the Fed 179 times) undoubtedly trumps its monetary-policy mandate of maintaining maximum employment, stable prices and moderate long-term interest rates. The Fed cannot credibly threaten to refuse to monetize debt and deficits to compel fiscal retrenchment by the Treasury, let alone Congress. Thus, the Fed will have no choice but to engage in sovereign-debt purchases that it knows to be incompatible with its monetary-policy objectives. With nominal interest rates for medium- and long-term U.S. sovereign debt far below the levels consistent with realistic expectations of future inflation, serious capital losses on nominal debt instruments (public and private) are likely. The inflation surge could be no more than three years away. As the prospect of fiscal capture comes into view, investing in Treasury inflation-protected securities (TIPS) and other indexed public and private debt instruments will become increasingly attractive. Willem H. Buiter, a former chief economist at Citibank and former member of the Monetary Policy Committee of the Bank of England, is an independent economic adviser. Anne C. Sibert is professor emerita of economics at Birkbeck, University of London. This commentary — 'U.S. Debt Holders Should Brace for Impact' — is published with the permission of Project Syndicate. Read: 'You are going to panic,' Jamie Dimon tells regulators about what will happen when the bond market cracks More: What's at stake if world's most powerful market finally buckles after decades-long U.S. debt splurge 20 companies in the S&P 500 whose investors have gained the greatest rewards from stock buybacks Israel-Iran conflict poses three challenges for stocks that could slam market by up to 20%, warns RBC I'm 51, earn $129K and have $165K in my 401(k). Can I afford to retire when my husband, 59, draws Social Security at 62? 'It might be another Apple or Microsoft': My wife invested $100K in one stock and it exploded 1,500%. Do we sell? Why the stock market will be performing a high-wire act over the summer, according to UBS


Bloomberg
17 minutes ago
- Bloomberg
Bloomberg Surveillance: Israel, Markets, Supply Chains
Watch Tom and Paul LIVE every day on YouTube: Bloomberg Surveillance hosted by Tom Keene & Paul Sweeney June 20th, 2025 Featuring: 1) Dan Williams, Bloomberg News reporter, on President Donald Trump signaling he would give diplomacy a chance before deciding whether to strike Iran, dialing back on recent comments that suggested military action could be imminent. 2) David Katz, President and CIO of Matrix Asset Advisors, on why he is hopeful there will be some clarity in the current conflict in the upcoming months. After that, however, we will then return to the week to week and month to month uncertainties with Tariff and the current tax and spending bill that's making its way through congress. 3) Alisa Rusanoff, CEO at Eltech, on what risks lender are currently facing in the shipping space. 4) Lisa Mateo joins with the latest headlines in newspapers across the US, including a WSJ story on how side hustles nowadays are more about necessity than a passion. Plus, a Bloomberg report about Capital One's New JFK Lounge Makes a Play for Premium Travelers