Ehud Olmert of Israel had inadvertently accepted the fact that Israel does possess nuclear weapons. This had validated the fact known by everybody and ended the regime of ambiguity maintained by Israel so as not to fuel the Nuclear Proliferation by Arab states. In 1968, ship containing 200 tons of nuclear waste, called Yellow cake was hijacked. The disappearance of Uranium was not accepted till 1977. It was alleged that Israel was behind the hijacking and had stolen that shipment to enrich the same and produce nuclear weapons(though it has never been proved). It is estimated that Israel has produced/capability to produce 200-300 nuclear weapons.
An innocent slip of tongue by Ehud Olmert will have tremendous repurcussion with Arab states pursuing Nuclear capability getting a moral boost for their plans. This is going to further destabilise already shaky middle east. The ongoing conference in Iran regarding supposed Jew holocaust during Hitler's regime will still spread more hatred against Israel. The situation can still worsen due to the condition in lebanon where pro hizbollah are demanding ousting of head of state. If the hizbollah supporters have their toehold in lebanon, the situation in middle east become more explosive and may also lead to condition where war may become inevitable.
"These are the birth pangs of new middle east" These are historic words uttered by none other than ill (or may be not) famed Condolezza Rice may become true in near future. Only the words will be chewed by the western states themselves.
Though war now is not possible but it may soon become inevitable......