Having gone into the weekend with stocks squeezing to record highs and oil prices plunging on euphoric hope that goldilocks was right around the corner in the Middle East - following Trump's very enthusiastic statements all day -things have gonea 'little bit slightly turbo' again...
As last week's rally extended, the market’s sensitivity to negative developments diminished.
Investors brushed aside warnings from global institutions about the economic damage. Instead, flows remained supportive and leadership broadened, with technology catching up after a rough start to the year. By Thursday and Friday, the tone had shifted to express the view that the war is all but over and the growth cycle remains intact.
That left markets heading into a critical inflection point.
But the weekend did not offer any help...
First, shortly after the 'close' on Friday,Iran denied most of what Trump claimedas fact with regard 'nuclear dust' and peace-deals.
Then came theIranians fired upon an Indian tankerattempting to cross the Strait.
And today we have seen theUS military strike and seize an Iranian-flagged cargo shipin the Gulf of Oman
On the bright side? ...there are expected to be'talks' on Tuesday or Wednesday(which Iran has claimed it will not attend).
Soaking all that in left markets back in 'Green Dot Sunday' mode with oil spiking, equity futures fading, and bitcoin sliding.
Source: ZeroHedge News
