Hezbollah fighters fired antitank missiles at a convoy, killing two Israeli soldiers. The much-anticipated reply to an Israeli strike 10 days before showed the challenge both sides face: retaliation without escalation.
An Israeli raid over the weekend led to the highest number of Hezbollah deaths since a 2006 month-long war between the two. Hezbollah will now have to carefully weigh its desire to inflict a punishing message without escalating the situation further.
In the second half of 2014, the price of oil fell by 50 percent. Hezbollah, which last fought Israel in Lebanon in 2006, is starting to tighten its belt as its patron Iran feels the impact of lower oil revenues and sanctions.