The New York Times this week asked if the S&P 500 is now dictating US foreign policy. In other words, there is a danger of what he calls a “rotten Taco” [Trump always chickens out] scenario. Trump may well declare victory and step back, but Iran might be tempted to prolong the pain in energy markets to ensure the lesson sticks. As it happens, Papic remains positive this will not be a prolonged war, as both sides face material constraints and risks. Even if the fighting is brief, however, it’s clear that today’s markets are not just reacting to foreign policy, but shaping it.

Source: The Irish Times March 14, 2026 09:01 UTC