Markets Shrug Off Israel-Hamas Conflict, Focus Shifts to Rates, Earnings
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The Israel-Hamas war initially rattled markets, but worries have since fallen by the wayside as investors focus on other threats like rate hikes and earnings.
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Oil prices pulled back from initial spikes during the war and remain below September highs.
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Treasury yields haven't shown a sustained flight to safety despite the conflict.
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Investors believe corporate earnings reports and the Fed's rate hikes are more immediate concerns.
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Markets could still drop 7-10% if Middle East conflict escalates, so some investors are seeking safety in assets like gold and bonds.