Possible scenario
Durable Reopening
44% Chance
The most likely outcome is that Omani mediation produces a workable navigation arrangement accepted by Iran, Gulf states, and Western naval forces. The reopening holds because Tehran can claim diplomatic leverage while avoiding the economic and military costs of another closure.
Initial impacts
- Riskier companies' borrowing costs Down
- Market volatility Down
- Oil prices Down
- 10-year Treasury yield Up
Secondary impacts
- Energy -3.0%
- Consumer Services +2.2%
Portfolio impact
S&P 500+1.3%
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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