Analysts note the Iran war has transitioned into the ripple effects phase as initial shockwave volatility subsides. Shipping bottlenecks through the Strait of Hormuz are straining storage and logistics, raising the prospect of output cuts by Gulf exporters.

Trend-following commodity trading advisors have pivoted to long positions in crude oil futures and the U.S. dollar while trimming exposure to equities and U.S. Treasuries. The strategy reflects rising oil prices and escalating geopolitical risk eroding sentiment for risk assets.

Continued supply tightness could sustain price volatility, with potential production constraints from Gulf producers adding to geopolitical premiums. A stronger dollar may also influence demand dynamics and cross-asset flows in global markets.