Economic impact of Iran war will hurt US even after conflict ends, economists warn

Economists warn that the economic fallout from a war involving Iran will harm the US economy even after active conflict ends, with implications for markets. Prolonged disruption could keep oil prices elevated, stoke inflation and slow growth, prompting risk‑off investor behaviour and sustained demand for safe havens such as gold (XAUUSD). That dynamic would pressure equities and increase downside risks for cyclical assets while supporting precious metals and other defensive trades. Market participants should monitor oil and inflation trajectories, central bank responses, and flows into safe-haven assets as the main channels through which the conflict’s economic legacy transmits to markets.