S&P 500 Adjusts Amid U.S.-Iran Tensions and Oil Price Fluctuations

The U.S. has conducted 10 consecutive nights of strikes against Iran, impacting investor sentiment. Despite these tensions, the S&P 500 fell only marginally on Monday, remaining 2% below its all-time high set in June. Brent crude oil exceeded $90 a barrel on Monday, while the U.S. 10-year Treasury yield traded above 4.6%. If energy prices and bond yields remain elevated, analysts warn that earnings estimates may need adjustment, which could affect the S&P 500 (SPY). This shift matters for investors; persistent inflation could result in changes to monetary policy and corporate profits.