What does the iron and clay in Nebuchadnezzar's dream represent?
The iron and clay represent the fragile united Europe: it has strength, yet latent hatreds create weakness. Though nations mingle with the seed of men, they will not cleave together, so there is no real political unity. This fragility prepares the way for the Antichrist.
Les explains that the iron and clay depict the coming political and economic United States of Europe. It has strength, but it also has weakness because of those latent hatreds. Daniel told Nebuchadnezzar that iron mixed with miry clay means they shall mingle themselves with the seed of men, just as Europe is doing, but they shall not cleave one to another. Therefore there will not be real political unity; the whole thing will be fragile. Les also notes that out of this consortium of ten nations will come the Antichrist, who will make a treaty with Israel and trigger the final seven years.