World War 3 is Not Looming

I often hear the term “world war 3” bandied about on X, as if any conflict that might arise is on par with global war. As much as it chagrins me to see Iran and Israel at war — even if we entered the conflict — it would not lead to “world war 3”, unless of course China and Russia had a military pact with them.

From my novice point of view in all things to do with war, yesterday’s attack on Israel, in response to their bombing of the embassy in Damascus, was child’s play — not a serious attempt at causing harm to Israel. If Israel responds, then we’ll have pressure applied to oil, which will jar markets. But as deleterious as this conflict might seem to you, it is provincial and not global — bears little to no effect on capital markets — and might actually cause stocks to go higher as a result.

Our opinions on this matter are meaningless as investors. The only thing we can glean from the initial phases of this conflict is the price dump of $BTC — which is down $2500 from Friday’s close.

The Saudi market was down 0.3% today and Israeli UP 0.27%; ergo, we have ourselves a nothing burger.

CAVEAT: In the event Iran successfully attacks American assets in the region, this will greatly jar markets temporarily — but then adjust to the reality that war, unfortunately, equates to greater spending and is a net benefit for markets.