Macro Insights Weekly - Middle East tensions and global implications

Israel-Iran conflict is a gravely worrisome development. Over a spectrum of adverse to extremely adverse outcomes, the market is so far inclined to coalesce around the less dire possibilities.
Middle Eastern wars in the 1980s and 90s did not lead to prolonged oil shocks.
Presently, global demand weakness is a bigger worry over supply constraints.
Nonetheless, energy supply through the Straits of Hormuz could be potentially disrupted.
The US could also be dragged into the conflict.
Under such scenarios, energy prices will be much higher than what's priced in presently.