The War in Iran Is Coming for Your Wallet

basically on sale. I mean you can get Michelin star quality food for the price of a fast food meal

“and don't even get me started on the thrift shopping. Japan's second hand scene is legendary and”

your dollar, well, your yen, is going to stretch so much further than you think. I'd love to go in late March or early April to see the cherry blossoms. Yes, that's peak season but I have a plan for that. One way I can earn a little extra cash for the trip is by hosting my place on Airbnb while I'm out of town. Hosting my home on Airbnb can help offset the cost of travel, making that dream vacation less of a dream and more of a reality. But it's not just me. While you're

away you can host your home on Airbnb and now hosting is easier than ever with Airbnb's co-host network. You can hire a vetted local co-host to take care of the hosting for you. A co-host can

create your listing, manage reservations, message guests and provide onsite support so the stay runs

smoothly even when you're away. You get to share your space with someone traveling to your area

“while you're off making memories somewhere else. If you've considered hosting but need a”

little help, find a co-host at Airbnb.com/host. You've heard me talk about built as the loyalty program that lets you earn points on rent wherever you live and they just leveled up even more. As of 2026 homeowners can also earn up to 1.25 x points on their mortgage payments. This is thanks to built's three new credit cards, the palladium card, obsidian card and blue card. All three turn your housing payments rent or mortgage into flexible rewards so you can choose the card

that fits your lifestyle without missing out on points and exclusive benefits. Built points can be redeemed at top airlines and hotels, Amazon.com purchases, future rent payments and more. Built points have also been ranked by top publications as the industry's most valuable point currency. Your housing payment is already your biggest expense. Make it your most rewarding. Find the card that fits your lifestyle and apply today at join built.com/moneyrehab. That's

J-O-I-N-B-I-L-T.com/moneyrehab. Make sure to use our URL so they know we sent you. Terms and limitations apply. Subject to approval and eligibility. Built cards are issued by column NA member FDIC pursuant to license from MasterCard International Incorporated. I love getting paid, but waiting to get paid is no fun and when you have investments lined up or interest bearing debt,

“it can even feel like waiting for your paycheck has an opportunity cost. That's why I love my”

pay from time for my friends on a salary. My pay from time gives you access to up to $500 of your paycheck anytime and you can get paid up to two days early with direct deposit. With qualifying direct deposit, the new Chime Card has another added benefit. You can get 1.5% cash back on eligible Chime Card purchases. No annual fees, no interest and no strings attached. Chime is not just smarter banking, it is the most rewarding way to bank. Join the millions who are

already banking fee free today. It just takes a few minutes to sign up. Head to chime.com/mn-n. That is chime.com/mn-n. Chime is a financial technology company, not a bank, banking services, a secured Chime Visa credit card, and my pay line of credit provided by the bank or bank NA or strike bank NA. My pay eligibility requirements apply and credit limit ranges $20 to $500. Optional services and products may have fees or charges. See chime.com/fee's info,

advertised annual percentage yield with chime plus status only. Otherwise 1.00% APY applies. No man balanced required. Chime Card on time payment history may have a positive impact on your credit score. Results may vary. See chime.com for details and applicable terms. I'm Nicole Lappen. The only financial expert you don't need a dictionary to understand. It's time for some money rent.

I want to talk about what's happening between the US, Israel, and Iran, because what's going on in the Middle East right now is going to hit your wallet hard. The US and Israel launched coordinated strikes on Iran on Saturday, February 28th, and the operation killed Iran's Supreme Leader Ayatollah Ali Hamani, who rolled Iran for the last three decades. His defense minister,

the commander of the Revolutionary Guard, and dozens of other senior officials were also killed.

Iran has since fired back with waves of missiles and drones targeting US bases across the region and Israeli cities. This is the biggest military event the Middle East has seen in a generation, and it has implications for the global economy that we need to know right now. But first, let's unwind the chain reaction that got us here. The US and Iran have been locked in a standoff over Iran's nuclear program for decades now. The real modern flashpoint came in 2018 when

President Trump pulled the US out of the 2015 Iran nuclear deal, which had kept Iran's

Iran began ramping up its enrichment, reaching 60% purity last year. For context, weapons

grade uranium is about 90%. So the gap is closing. Then, in June, Israel launched a major air strike campaign against Iranian nuclear and military facilities. On June 22nd, the US joined in striking three of Iran's major nuclear sites. The Trump administration declared it an overwhelming

“success, and a ceasefire was reached on June 24th 2025. But here's the thing about ceasefire agreements”

in a conflict as deep and as complex as this one. They are very fragile. Iran was committed to rebuilding its nuclear program. The US and Iran went back to the negotiating table multiple rounds of indirect talks with Oman as a mediator. Then, as recently as February 27th, just one day before these strikes, Oman's foreign minister announced that Iran had agreed to degrade its nuclear stockpiles, and suddenly, briefly, it looked like diplomacy might have had a pulse, but it did not.

Not yet anyway. As then, 24 hours after the announcement from Oman, Israel launched strikes on Iranian targets, followed by US forces. President Trump announced the operation at 230 in the morning. US forces say that they've now hit over a thousand targets in the opening days of the operation alone. Iran's response has been sweeping, and it's deliberately spreading beyond its

“own borders. Iran's strategy is to make this conflict as painful and as costly as possible for”

the United States and its allies. By targeting, the Gulf countries that host American military bases and allow US operations to run from their borders. Disrupting the American financial system is also a weapon, and it's already being used. To prepare for economic fallout, foreign policy, and financial analysts are watching a few things very closely right now. The biggest wildcard is the straight of Hormuz. That is this narrow strip of water between Iran and the Arabian

Peninsula. It is the world's single most critical oil choke point. About 20% of the world's oil

shipped by sea passes through it, roughly 15 million barrels a day. For context, that is enough gas to fill roughly 12 to 15 million cars. So the big question here is will this be another long conflict. According to analysts at Aliyan's global investors, the death of comedy while a

“massive shock could actually reduce the risk of a prolonged regional war because it raises the”

possibility of regime change and potentially a new government that does not carry Iran's 47-year hostility toward the West. That is an optimistic read. Tratam House experts warn that Iran, with its back against the wall, has every incentive to externalize the conflict, drawing in its allies, expanding the theater, and making the cost of these strikes impossible for the US and Israel to absorb quietly. Oxford economics research are put it

blindly. The conflict is unlikely to last beyond two months, but the near term volatility will be severe. In the markets, they are already feeling the volatility. And the fact that markets are closed on the weekends may have been in part why the strikes happened the way they did. Venezuela and President Maduro was also captured when the markets were closed on Saturday, January 3rd. Here's how this conflict will reach your wallet. The most immediate consequence

will be oil prices. US crude oil surged more than 7% on Monday. Brent crude, the international oil benchmark jumped nearly 9% to hit nearly $80 a barrel. That's the highest price it's been in over a year. An oil had already climbed 17% this year before the strikes even started. Trader saw the US military buildup and thought something like this would be coming. Let me break down the basic economics behind the trade. Oil is a global commodity and its price

is driven by supply and demand. When a conflict breaks out in the Middle East, traders immediately start pricing in risk that supply could be disrupted. It doesn't matter if a single barrel has actually been taken off the market yet. The fear of disruption is enough to send prices

higher because markets trade on expectations. Iran produces nearly 1.6 million barrels of oil per

day. Add that to the threat of the trade of Hormuz being blocked and suddenly the market is staring at a potential supply shock with no easy replacement. Less supply, same demand, higher price. That's the equation that's playing out right now. The spike in crude has a direct and unpleasant downstream effect for gas prices. When refineries pay more for oil, you pay more at the pump. Usually within days to weeks. And this is on top of an already fragile economic environment.

Friday's wholesale inflation data came in at 2.9% nearly double what economists were expecting. So we've got wardrobe and energy inflation, stacking on top of pre-existing inflationary pressure,

there has been a long history of conflict. And when you look at that history, you can see patterns in the way that these investments move up and down in response. Understanding these patterns and

being able to react quickly is an important way to protect your portfolio. Here's what goes up.

Defense stocks are the most obvious. And yes, they've moved dramatically recently. At the time I'm recording this Lockheed Martin is up about 3% compared to last week. Northherp Grubman is up about 6%. The eye shares US aerospace and defense ETF has already served 14% this year before the weekend and that number is still climbing. Energy stocks to surge alongside crude oil prices. Exxon mobile and Chevron both gained about 4% on Monday,

Conoco Phillips was up more than 5%. If you hold energy stocks or ETFs, this week has probably been a bright spot in another wise nerve-wracking portfolio check. Another benefit here is gold, because it is a classic safe haven play. And it's performing like one right now. Spot gold hit over $5,400 per ounce on Monday, already up 22% year to date before the strikes even happened. JP Morgan has raised its gold price target to $6,300 per ounce by December of

2026. That means just to take a step back into code for a second, that one of the world's biggest banks is making a bet on sustained instability. Defense energy and gold are usually the three assets that see the biggest upswing when the US is in conflict with the Middle East. And just to be human for a second, if it makes you feel weird to be thinking about buying stocks that rise during times of war, I absolutely get it. Just because traders on Wall Street buy these stocks does not mean

“you have to. It is your portfolio. You call the shots on how you want your values reflected in”

your portfolio. But even if you don't buy any of these sectors, it is really important to understand how assets move in response to world events so that you can protect yourself. You don't have to

play offense, but you do need to understand how to play defense. Okay, so now here's what goes down

travel stocks. On Monday, airlines and travel stocks got hammered. Middle East airspace is effectively closed, routes are being rerouted and consumer anxiety about travel in wartime environments is absolutely real. Cruise lines hotel chains and tourism exposed stocks all sold off. Now I will tell you from 25 years covering business news, it is not uncommon to see the stock market as a whole fall when there's conflict abroad. The S&P 500 opened sharply lower on Monday morning,

but it did not sink as low as you might expect. Interestingly, it recovered almost entirely by the time the market closed. The S&P 500 ended Monday basically flat. The Nasdaq actually ended up slightly higher. What happened here was that investor's bath dip, particularly in cash rich tech names like Nvidia and Microsoft, which historically hold their value much better than most in conflict driven at selloffs. Here's the broader historical pattern worth really understanding.

Market's almost always overreact to geopolitical events in the short term and then recover.

“Here's the thing, markets always always recover. We just don't know exactly when. So an uptick”

in oil stocks and uptick in defense and gold and a dip in travel stocks are all really predictable trends when the war escalates in the Middle East. But trying to time the dip and the recovery in the overall market is way more of a challenge. In other words, I just wouldn't do it. So, how long will we see oil go up? What should we do with our poor bullios? Well none of us can predict the future, but here's my take. The market's resilience on Monday was actually

quite a tell. Strikes were anticipated. The US military buildup in the region had been building for weeks. Two carrier strike groups and unprecedented prepositioning of air power, all of it, telegraphed. Traders had time to adjust. That's why the market recovered instead of cratering. The scenario that should worry you isn't what we know. It's what we don't know. A surprise attack on Saudi Arabia's oil infrastructure, a full straight-of-more-mouse closure,

or Iran successfully bringing in a major player as a military backer. Those are the risks that could change the equation entirely. The smart move right now isn't panic, and it definitely isn't blind optimism. But it is understanding what a conflict actually means for each asset class in your portfolio and making intentional choices not reactive ones. For today's tip, you can take straight to the bank. Consider adding an energy royalty company to your portfolio

“rather than each traditional oil stock. Now, of course, you should absolutely do your own research,”

but here's why this is something that I'm looking into right now. royalty companies like Viper Energy or Blackstone Minerals collect shares of revenue every single time oil is pulled from a well, they own royalty rights too. They have no drilling costs, they have no operational expenses or exposure, meaning when oil prices spike in a conflict like this, their margins

get long oil prices without taking on the full operational risk of a producer.