It’s looking like the market is underestimating the potential for an economic downturn!

The S&P 500 is up this morning, even after President Trump announced over the weekend that the U.S. would hit Iran harder in 48 hours if they don’t reach a deal.

Oil prices are rising slightly this morning, but equity markets are up over 0.5% even though hopes for a truce remain a long-shot.

We are growing increasingly concerned that the market is downplaying the true effects on the economy of this oil shock.