No breakthrough in ceasefire talks expected this week, but there has been progress - Axios Reporter on X Citing Senior American and Israeli Official.

No breakthrough in ceasefire talks expected this week, but there has been progress - Axios Reporter on X Citing Senior American and Israeli Official.

Financial professionals and investors are closely monitoring the ongoing conflict in Gaza and the Middle East, as the geopolitical tensions could have implications for global markets. Despite recent progress in ceasefire negotiations, a breakthrough is not expected this week, according to senior American and Israeli officials.

The United States, on Wednesday, vetoed a U.N. Security Council resolution demanding an immediate and permanent ceasefire in Gaza. The resolution was not linked to the release of hostages, a condition set by the U.S. The 14 other members of the 15-nation council voted in favor of the resolution, which described the humanitarian situation in Gaza as catastrophic and called on Israel to lift all restrictions on the delivery of aid to the 2.1 million Palestinians in the territory.

The U.S. has previously vetoed similar resolutions, including one in November under the Biden administration, for the same reason. The current resolution demands the release of hostages but does not make it a condition for a truce. Hamas, the militant group controlling Gaza, has sought amendments to a U.S. proposal that special envoy Steve Witkoff has called "totally unacceptable."

The vote followed a decision by an Israeli and U.S.-backed foundation to pause food delivery at its three distribution sites in the Gaza Strip after health officials reported dozens of Palestinians killed in a series of shootings near the sites this week. The U.N. has rejected the new aid system, citing concerns about the humanitarian crisis and compliance with neutrality, impartiality, and independence principles.

Gaza's roughly 2 million people are almost completely reliant on international aid due to Israel's offensive, which has destroyed nearly all food production capabilities. Israel imposed a blockade on supplies into Gaza on March 2, and limited aid began to enter again late last month after pressure from allies and warnings of famine.

The Security Council has voted on 14 Gaza-related resolutions and approved four since the war began. Hamas-led militants stormed into southern Israel on Oct. 7, 2023, killing around 1,200 people, mostly civilians, and abducting 251. They are still holding 58 hostages, a third of them believed to be alive, after most of the rest were released in ceasefire agreements or other deals.

Israel's military campaign has killed more than 54,000 Palestinians, mostly women and children, according to Gaza's Health Ministry. The ministry's toll is seen as generally reliable by U.N. agencies and independent experts, though Israel has challenged its numbers.

The lack of a ceasefire agreement could continue to strain global markets, particularly those related to energy and commodities. Investors should closely monitor the situation for any developments that could impact market stability.

References:
- [1] https://www.business-standard.com/world-news/us-vetoes-un-security-council-resolution-for-an-immediate-gaza-ceasefire-125060500055_1.html
- [2] https://www.kcra.com/article/us-veto-un-gaza-ceasefire-resolution/64971068