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Escalating US‑Iran military clashes raise geopolitical risk, threatening oil supply chains and boosting demand for safe‑haven assets

Executive summary: US forces resumed strikes on Iran after a brief lull, prompting Tehran to restart its own attacks and renewing hostilities in the region. The escalation increases the risk to oil transit routes, especially the Strait of Hormuz, which can spike energy prices and affect defense and commodity markets.

Who is involved: United States Department of Defense, Iranian Armed Forces, regional allies, and global oil and defense investors.

Likely next: Continued exchanges of fire, possible diplomatic interventions, and market reactions such as higher crude oil prices and increased defense spending.

After a short pause in hostilities, the United States resumed military strikes on Iran, prompting Tehran to restart its own attacks. The renewed fighting raises concerns about the security of oil shipments through the Strait of Hormuz and could lead to higher energy prices. Market participants are likely to shift toward defensive stocks and precious metals as a hedge against the deepening regional tension.

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