U.S.-Israeli Relations Hit New Low
Author: Greg Valliere
March 11, 2024
THE DOWNWARD SPIRAL in relations between Joe Biden and Benjamin Netanyahu has intensified. With over 30,000 deaths in Gaza, the war is now “hurting Israel more than helping Israel,” Biden said this weekend. Netanyahu dismissed that contention as “wrong,” escalating the leaders’ increasingly public dispute.
THE ISRAELI PRIME MINISTER says he intends to press ahead with an invasion of the city of Rafah on the southern border of the Gaza Strip — in defiance of Biden, who has warned such an offensive would be a “red line.” Biden is facing growing opposition on the left as civilian deaths increase in Gaza.
BIDEN HAS REBUKED Netanyahu over the rising civilian death toll in Gaza, even as he reaffirmed American support for Israel. When asked on Sunday whether Israeli forces would move into Rafah, Netanyahu replied: “We’ll go there. We’re not going to leave them. You know, I have a red line. You know what the red line is? That October 7 doesn’t happen again. Never happens again.”
BIDEN HAS NOW OPENLY CRITICIZED Israel, as leftist Democrats demand a cease fire. Biden said this weekend that Netanyahu “has a right to defend Israel, a right to continue to pursue Hamas, but he must, he must, pay more attention to the innocent lives being lost as a consequence of the actions taken.”
BIDEN SAID THAT WHILE HE WOULD LIKE to see another hostage release, he didn’t see any “breakthrough in the negotiations … Without a release there’s not going to be a pause in the fighting.”
BIDEN SURELY WAS THINKING ABOUT HIS OWN political problems with Israel when he said “In my view, Netanyahu is hurting Israel more than helping Israel,” appearing to refer to Netanyahu’s military strategy. “It’s contrary to what Israel stands for, and I think it’s a big mistake. So I want to see a cease-fire.”
RELIEF ORGANIZATIONS have warned against an attack on Rafah, on the border with Egypt, which is now a refuge for about half of Gaza’s 2.3 million population.
WITH FRESH CASES OF malnutrition and dehydration in Gaza, Israel faces a public relations backlash in the West — and even in Congress, which has traditionally been a strong supporter of Israel. Members of Congress are against more military aid in general, arguing that the U.S. cannot afford $70 or $80 billion in aid to Ukraine, Taiwan and Israel.
A VOTE ON THIS AID WON’T COME until late this month, when Congress will have to address several contentious budget issues before a March 22 deadline arrives. Still another extension of the deadline, until April 30, is possible — and the longer this aid is delayed, the longer its opponents will gather momentum.
The views expressed in this blog are provided as a general source of information based on information available as of the date of publication and should not be considered as personal investment advice or an offer or solicitation to buy and/or sell securities. Speculation or stated believes about future events, such as market or economic conditions, company or security performance, or other projections represent the beliefs of the author and do not necessarily represent the view of AGF, its subsidiaries or any of its affiliated companies, funds or investment strategies. Every effort has been made to ensure accuracy in these commentaries at the time of publication; however, accuracy cannot be guaranteed. Market conditions may change and AGF accepts no responsibility for individual investment decisions arising from the use of or reliance on the information contained herein. Any financial projections are based on the opinions of the author and should not be considered as a forecast. The forward looking statements and opinions may be affected by changing economic circumstances and are subject to a number of uncertainties that may cause actual results to differ materially from those contemplated in the forward looking statements. The information contained in this commentary is designed to provide you with general information related to the political and economic environment in the United States. It is not intended to be comprehensive investment advice applicable to the circumstances of the individual.
AGF Investments is a group of wholly owned subsidiaries of AGF Management Limited, a Canadian reporting issuer. The subsidiaries included in AGF Investments are AGF Investments Inc. (AGFI), AGF Investments America Inc. (AGFA), AGF Investments LLC (AGFUS) and AGF International Advisors Company Limited (AGFIA). AGFA and AGFUS are registered advisors in the U.S. AGFI is a registered as a portfolio manager across Canadian securities commissions. AGFIA is regulated by the Central Bank of Ireland and registered with the Australian Securities & Investments Commission. The subsidiaries that form AGF Investments manage a variety of mandates comprised of equity, fixed income and balanced assets.
About AGF Management Limited
Founded in 1957, AGF Management Limited (AGF) is an independent and globally diverse asset management firm. Our companies deliver excellence in investing in the public and private markets through three business lines: AGF Investments, AGF Capital Partners and AGF Private Wealth.
AGF brings a disciplined approach, focused on incorporating sound, responsible and sustainable corporate practices. The firm’s collective investment expertise, driven by its fundamental, quantitative and private investing capabilities, extends globally to a wide range of clients, from financial advisors and their clients to high-net worth and institutional investors including pension plans, corporate plans, sovereign wealth funds, endowments and foundations.
Headquartered in Toronto, Canada, AGF has investment operations and client servicing teams on the ground in North America and Europe. AGF serves more than 800,000 investors. AGF trades on the Toronto Stock Exchange under the symbol AGF.B.
For further information, please visit AGF.com.
©2025 AGF Management Limited. All rights reserved.
