Possible scenario
Direct U.S.-Iran Exchange
25% Chance
Washington may judge the tanker attacks and Houthi surge as coordinated Iranian escalation and respond directly against IRGC or proxy infrastructure. Tehran would likely retaliate through missiles, drones, cyberattacks, and further maritime pressure while trying to avoid regime-threatening war.
Initial impacts
- Riskier companies' borrowing costs Up
- Market volatility Up
- 10-year Treasury yield Down
- Oil prices Up
- US dollar Up
Secondary impacts
- Energy +3.7%
Portfolio impact
S&P 500-2.3%
Each figure is the modeled move of the S&P 500 if the outcome occurs. For information only. Not investment advice.
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