Israel Renews Strikes on Beirut, Threatens Ground Operations
Analysis based on 11 articles · First reported Mar 12, 2026 · Last updated Mar 13, 2026
The renewed military conflict between Israel and Lebanon, involving Hezbollah and Iran, is expected to significantly destabilize the Middle East, leading to increased geopolitical risk premiums in global markets. Energy prices, particularly oil, are likely to rise due to supply concerns, while regional stock markets will face severe downward pressure and increased volatility.
Israel has renewed its strikes on Beirut and other parts of Lebanon, with Prime Minister Benjamin Netanyahu warning of ground operations if the Lebanese government does not disarm Hezbollah. This escalation follows Hezbollah's attack on Israel in retaliation for the killing of Iranian supreme leader Ali Khamenei in US-Israeli strikes. The conflict has resulted in over 687 deaths and displaced more than 800,000 people in Lebanon. Israeli Defence Minister Israel Katz has ordered troops to prepare for expanding attacks and issued evacuation warnings. Hezbollah, backed by Iran, has conducted joint operations with Iran's Revolutionary Guards against Israel, drawing objections from the Lebanese government. Israeli strikes have targeted Hezbollah infrastructure and linked financial firms like Al-Qard Al-Hassan, causing widespread damage and a humanitarian crisis.
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