World reacts to US, Israel attack on Iran, Tehran retaliation (read here)
The outbreak of conflict between Israel and the United States against Iran, triggered by joint U.S.–Israeli strikes across Iranian territory,has prompted frantic calls for restraint as concern spreads across the globe.
On Saturday, 28 February 2026, Donald Trump announced that Iran’s Supreme Leader, Ali Khamenei, had been killed in a large-scale U.S. and Israeli military operation.
How this conflict will ultimately unfold remains highly uncertain.
In this post, however, I will focus on something more specific: how stock markets have historically reacted in the initial hours and days after news of war first breaks.
Markets hate uncertainty more than bad news.
Wars create maximum uncertainty initially, but once the situation becomes clearer, markets often recover surprisingly quickly. However,
Immediate reaction (first hours / first day)
Typical pattern: Sharp selloff due to shock and uncertainty.
This may already be not applicable as US-Israel launched the attacks during the weekends. By Monday, markets...
