What past market volatility has taught us about investor behaviour
The current situation in the Middle East has led to market volatility. While it might seem new, similar movements have happened before, and looking at how these events have affected investor behaviour could be useful.
At the end of February 2026, the US and Israel launched strikes on Iran, which have further escalated. The uncertainty caused by the war has affected market confidence, leading to falling prices.
The Middle East is a large exporter of oil, and the war has resulted in prices rising, which is likely to affect businesses and consumers around the world. In addition, the Strait of Hormuz, an important waterway for trade, has been affected by the conflict, which may harm international supply chains.
These external factors may be affecting the value of your investments.