The ongoing Israel-Hamas war has left many investors on edge. This is especially so with reports that Israel may be preparing for a ground invasion of Gaza. The importance of the Middle East in the global energy market is causing unease, particularly as Brent crude oil prices have been inching up even before the escalation of the Middle East conflict. Many in the Beansprout community asked if we can share our thoughts about how the rising geopolitical tensions may affect our investments. Let us look at some of the potential implications of the Israel-Hamas conflict, what what they may mean for our portfolios. Source: Tradingview
Why are investors concerned about the Middle East conflict?
Before we delve into these scenarios, it’s important to put things in perspective. The knee-jerk reaction to Middle East conflicts often involves predicting sky-high oil prices, inflation spikes, and stock market declines.