Six Months Into Iran War, Global Economy Rebounds

Six months into the US-Israel-Iran conflict, the worst economic fears have not fully materialized, though energy costs and inflationary pressures persist. Oil surged to about $120 a barrel at its peak but has since moderated, remaining well above pre-war levels. Global stock markets have rebounded sharply since late March, with the Dow, S&P 500, and Nasdaq posting sizable gains amid continued optimism around artificial intelligence. The IMF says the economy is being pulled by two opposing forces: the war weighing on growth while AI enthusiasm offsets much of that drag. Impacts are uneven, with higher energy and transport costs hitting airlines, consumers, and farmers, while fertilizer costs and food security concerns rise and demand for electric vehicles and renewable energy grows. Overall, investors appear to be looking past disruptions, as winners and losers emerge across sectors and markets.