As the U.S.-Iran war heats up again, these parts of the stock market and economy could be affected - CNBC
Escalating tensions between the U.S. and Iran have prompted Wall Street to reassess the economic risks of a prolonged conflict. While the stock market has remained resilient, rising oil prices and bond yields are causing concern among economists.
Why it matters
A sustained conflict in the Middle East could disrupt global energy supplies and trigger inflationary pressures, potentially impacting the U.S. economic recovery.
A ramp-up in fighting between the U.S. and Iran over the weekend has left Wall Street reconsidering its expectations for the war's economic impact.
The U.S. completed its 10th straight night of strikes against Iran on Monday, after the Houthis in Yemen declared a maritime embargo against Saudi Arabia. This comes after a third service member died amid recent fighting that could mean the war is entering a longer-term and deadlier era. President Donald Trump vowed the U.S. would retaliate, saying in a Truth Social post " they will pay ."
Investors appear to keep brushing off the latest flareup in tensions, with the S&P 500 only falling marginally in Monday's session after a losing week. It also remains just 2% below its all-time high set in June. Still, economists are worried that energy prices once again ascending could weigh on consumers and the broader economy.
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