Key insights
- Report of a secret Israeli military base in Iraq, used to support operations against Iran, increases geopolitical risk in the Middle East. This could lead to higher oil prices and increased risk aversion, potentially creating a short-term negative impact on US equities.
Investing.com-- Israel established a secret military outpost in Iraq’s western desert to support its air war against Iran and carried out strikes on Iraqi troops who nearly uncovered the base, the Wall Street Journal reported on Saturday, citing people familiar with the matter, including U.S. officials.
According to the report, the clandestine base was built shortly before the conflict began with U.S. knowledge and was used by Israeli special forces and search-and-rescue teams in case Israeli pilots were downed during operations over Iran.
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The Wall Street Journal said the base was almost discovered in early March after a local shepherd reported unusual helicopter activity in the area, prompting Iraqi troops to investigate.
Israeli forces allegedly responded with airstrikes to keep Iraqi units away from the site, the report said. Iraq at the time condemned the attack, which killed one Iraqi soldier and wounded two others.
The Journal said the outpost helped Israel sustain thousands of airstrikes against Iranian targets during the five-week campaign by positioning forces closer to the battlefield.