Iran has issued a stark warning that any country supporting US sanctions will be treated as an enemy at war, escalating the ongoing US-Iran confrontation. Former CIA analyst Larry Johnson suggests that China and Pakistan are unlikely to comply with US sanctions, potentially undermining the coalition Washington depends on. Prediction markets reflect this growing pessimism: odds for a US-Iran deal including Iran Reconstruction Funding have dropped from 24% to 16.5% in one week. This escalation significantly undermines prospects for diplomatic resolution and raises concerns about a shift from economic to broader coercive measures.
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