@rainingsnoring ,
‘But you forget that Iran constructed and signed the MOU, which was then broken by the US and that Iran recently suggested a 7 day ceasefire and rapid negotiation, which the US declined.’
Both sides blame the other for breaking the MOU. However firing on commercial ships seems a pretty clear breach to me.
Iran doesn’t really need to trust the U.S. They just need to align their interests. We pretty much know now what the U.S would be happy to accept; open sea lanes and giving up nuclear material and ambitions.
‘In Iran's shoes, given everything, including the upcoming US mid terms, it does seem logical to escalate and force Trump's hand, when he is politically vulnerable and the whole world oil market and many bond markets are extremely vulnerable.’
The thing is, any escalation has to be after the mid terms, because it will take the new carrier group three weeks to arrive. You are right about the oil and bond markets being vulnerable, but Trump has bought months of time with the release of EU reserves. The bond vulnerability is more a long term thing and Iran is a tiny part of it. It could be a catalyst, but it’s not guaranteed.
Ultimately, once the U.S start a new bombing campaign and a small land campaign (the amphibious landing craft are there for a reason), it won’t be good for Iran in any way. After they have lost their bridges and power stations and an island or two, what then? I just can’t see how this could end in a better outcome than Iran offering a meaningful ceasefire (unilateral and offering talks on nukes). Just like the U.S, they always can return to a hot war if required.