Investors are misreading news about the Iran war, analysts say as markets whipsaw

• Investors are misreading developments in the Iran war as the status of the Strait of Hormuz continues to whipsaw markets, say analysts.
• The current market environment differs from President Donald Trump’s ‘liberation day’ as he is no longer fully in control of events, according to BCA.
• Deutsche Bank also warned that investors risk a 2022-style scenario – when misplaced optimism about an end to the Russia-Ukraine war was followed by significant equity market declines.

“Complacent” investors risk getting wrong-footed as they continue to misread developments in the Iran war, analysts said after markets reacted to the brief reopening of the Strait of Hormuz on Friday, only for their hopes to be dashed.

Source: https://www.cnbc.com/2026/04/20/market-optimism-iran-war-equities-markets.html