One Day Until Trump’s Self‑Imposed 5-Day Deadline On Iran But Markets Appear Increasingly Numb
By Molly Schwartz, Cross Asset Macro Strategist at Rabobank
More persistent inflation
Yesterday, Iran rejected the US-proposed 15-point plan, instead laying out its own conditions in a here, “If we see a US and Israeli defeat…Trumpism will suffer both electorally and geopolitically: its grand macro strategy will unravel, to China’s advantage.”
US Press Secretary Karoline Leavitt yesterday announced that JD Vance may be headed for Pakistan on Friday to continue negotiations, but if diplomacy fails, Trump has at least partial backing from NATO.
Mark Rutte said the President was “doing this to make the whole world safe,” and argued that it is “only logical” for European countries to take a couple of weeks to coordinate naval deployments to the Strait of Hormuz following Washington’s request. Not all European leaders are aligned, however, with officials in Germany, Italy, and Spain stressing that “this is not our war.”
Whether Europe views the conflict as its war or not, it is already implicated via the economic channel. Several ECB policymakers spoke yesterday at the ECB and Its Watchers Conference, striking a cautious tone as they assess how large and persistent the inflationary shock from the conflict may be. Kazaks said it remains “unclear” whether rate hikes in April are justified, but warned that risks could intensify if energy prices meaningfully pass through into other components.
Tyler Durden Thu, 03/26/2026 – 10:05
Source: https://freedombunker.com/2026/03/26/one-day-until-trumps-self-imposed-5-day-deadline-on-iran-but-markets-appear-increasingly-numb/
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