Possible scenario
Coalition Military Retaliation
20% Chance
If intelligence links the fatal strike to a specific IRGC missile or drone unit, the US and Gulf partners could retaliate, with Indian political support but not necessarily Indian combat participation. This would be a major escalation because Iran has already asserted a permanent seizure policy in Hormuz.
Initial impacts
- Riskier companies' borrowing costs Up
- Market volatility Up
- 10-year Treasury yield Down
- Oil prices Up
- US dollar Up
Secondary impacts
- Energy +4.4%
Portfolio impact
S&P 500-2.2%
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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