In a shocking turn of events, the European Union agreed to ban all oil imports from Iran earlier today (starting July 1st, 2012) and froze all assets of the central Iranian Bank within the 23 member bloc. It comes after weeks of saber-rattling and threats from the isolated Iranians to close down the Straits of Hormuz.
The economic blockade will bring the Iranians down to their knees and force them to make a choice: negotiate the end of their nuclear weapons program before revolution occurs, or double down and do something militarily to possibly unite their citizenry against the western foe.
I am guessing the Iranians are not going to budge on nuclear weapons, and will attempt to cancel out Europe's blockade by selling their soon-to-be abundant reserves to China, while continuing to rattle every one's cage on Hormuz, which will result in eventual US military blockade of the Persian Gulf.
Either way, it's going to be interesting to keep an eye on Iran the next couple of months.
What say you?