From panic to pricing in: Are markets past 'peak fear and sell-off' despite oil price surge?

Markets showed a muted reaction even as a blockade move around the Strait of Hormuz raised geopolitical risk and sent oil prices higher. The article suggests investors are treating the shock as temporary rather than a durable market catalyst, limiting equity selloff despite the energy spike. The main near-term impact is on oil and broader risk sentiment, not on a sustained equity rerating.

Analysis

Markets showed a muted reaction even as a blockade move around the Strait of Hormuz raised geopolitical risk and sent oil prices higher. The article suggests investors are treating the shock as temporary rather than a durable market catalyst, limiting equity selloff despite the energy spike. The main near-term impact is on oil and broader risk sentiment, not on a sustained equity rerating.