Possible scenario
Negotiations Collapse Escalation
20% Chance
Talks break down and military action broadens across the Gulf and Israel-Iran fronts. This is less likely than a contained standoff but remains plausible because Iran has tied de-escalation to money access Washington may be unwilling or unable to grant quickly.
Initial impacts
- Riskier companies' borrowing costs Up
- Market volatility Up
- 10-year Treasury yield Down
- Oil prices Up
- US dollar Up
Secondary impacts
- Energy +3.4%
Portfolio impact
S&P 500-1.6%
Each figure is the modeled move of the S&P 500 if the outcome occurs. For information only. Not investment advice.
Keeping an eye on this scenario?
Tilt can alert you when its probability or impact shifts, or send you a recommendation when it crosses a threshold.