The big news is Israel’s attack on Iran. The concept is not new, but when it escalates to a whole new level, the stock market will get worried and try to save its money. It will be quite crowded in the door, in other words.
There has been quite a bit of turbulence lately, I think. We had almost just left a time where inflation was being fought hard when Trump initiated his Trade War. Now a new phase is beginning when we only found out yesterday about Israel’s airstrikes on Iran .
A big reason why this is being highlighted is that the airstrike was aimed at, among other things, Iran’s nuclear weapons program. The uncertainty also increases as the US may be involved and the war in the Middle East may escalate and take a different direction.
The US itself says that this is not the case.
“We are not involved in attacks on Iran and our highest priority is protecting American forces in the region,” Secretary of State Marco Rubio said.
Asian stocks were down just under 2%, but US futures were also under pressure. The S&P500 fell 1.6% and Nasdaq futures fell 1.8%. However, the oil price seems to be rising. Here, we see that the European stock exchanges are also heading for declines.
It seems that many are now asking themselves why the stock markets didn’t fall more, perhaps closer to 3%. I think many are waiting to see how Iran will respond. That will be a crucial piece in the game.
The general concern is the absolute best thing that can happen to dividend investors, even though it feels silly to say in times like these when many are suffering and people are dying. You can easily lean back on the fact that your quality companies should not be affected in the long term.
Busy And Useful 