FOMO Overcoming Fear: Markets Getting Energy Risks Wrong?

• Markets show 'fear of missing out' (FOMO) on peace, but remain nervous and prone to volatility due to geopolitical uncertainty.
• Energy price normalization could take several months for crude oil and potentially years for LNG, with physical markets currently constrained.
• Europe and Asia are identified as the most vulnerable regions to prolonged high energy prices due to their reliance on Middle Eastern energy imports.
• Global earnings estimates have surprisingly increased despite the war, but analysts anticipate potential downward revisions after hearing from management teams, which could make stocks appear more expensive.

Michelle Gibley discusses market 'FOMO' for peace amid US-Iran tensions and an expiring ceasefire, warning of continued volatility and prolonged high energy prices. Normalization could take months to years, with Europe and Asia most vulnerable. Downward earnings revisions could make global stocks appear expensive, despite current increases in estimates.