Fed governor warns of recession risk as 'extreme fear' grips markets

A widening Middle East conflict is starting to reshape market psychology far beyond oil. What began as a geopolitical shock is now feeding directly into inflation fears, bond volatility and a broader reassessment of growth risk. That shift has left investors juggling two threats at once. The risk of an energy-driven slowdown and the risk that central banks stay hawkish for longer. As those pressures build up, the usual playbook for risk assets is getting harder to trust. Related: Mysterious traders mo ...