Oil, Israel, Iran and War
The market has been on a steady rise, volatility has collapsed, and we are getting all those new “smart” longs. Geopolitical risk is certainly not priced in the equity space. Oil, on the other hand (apart from the QE factor) is factoring in a possible geopolitical heat up in the Middle East. What if Israel provoked a war between the US and Iran? Meanwhile, the oil price continues the rise. Bloomberg video below.