Markets are bracing for fresh shocks as President Donald Trump threatens more strikes on Iran, and veteran strategist Stephanie Pomboy says the moment favors hard assets. Appearing on Fox Business’ “Mornings with Maria,” the MacroMavens founder weighed the case for gold, energy, and other tangible stores of value as investors gauge the risk of a wider conflict and higher prices.
The discussion centers on how political tension can spill into energy markets, inflation expectations, and safe-haven demand. It also highlights the choices investors face when cash yields are attractive, yet headline risk remains high. The debate matters for households and institutions trying to protect purchasing power while staying invested.
“The importance of investing in hard assets as President Donald Trump threatens more strikes on Iran.”
Why geopolitical risk steers money to hard assets
Episodes of political tension often push investors toward assets seen as reliable stores of value. Gold and other precious metals are common targets when fear rises. Energy commodities can also move on supply concerns, especially when the Middle East is involved. Pomboy’s remarks speak to that playbook, which tends to favor tangible assets when headlines turn uncertain.
Hard assets appeal for a simple reason: they are tied to physical scarcity. If conflict threatens supply chains or sparks inflation, their prices can rise while financial assets wobble. That logic has drawn capital during past periods of unrest and price shocks.
What Pomboy’s outlook signals for portfolios
Pomboy has long focused on macro turning points and how they filter through markets. Her emphasis on tangible assets suggests she sees a higher risk of inflation flare-ups or supply disruptions than many equity investors currently price in. In such setups, portfolios heavy in growth stocks can suffer if input costs rise or demand softens.
Investors who share that view often tilt toward:
- Precious metals and miners, which may benefit from safe-haven demand.
- Energy producers and pipelines, tied to potential supply tightness.
- Real assets like commodities or select real estate, as inflation hedges.
Counterpoints: cash yields, bonds, and diversification
There is another side to the debate. With cash and short-term Treasurys still offering higher yields than in recent years, many prefer to keep liquidity and wait for clarity. Defensive bonds can rally if tensions cool or growth slows, offsetting stock volatility. Some strategists also warn that commodities can be choppy and that timing is hard.
Diversification remains a practical tool. A balanced mix that includes hard assets, quality bonds, and resilient equities can help manage shocks from several directions. For investors with shorter horizons, keeping some cash can reduce the need to sell during a downturn.
Energy, inflation, and the ripple effects
Threats of wider conflict in the Middle East tend to lift the risk premium in oil. Even a small supply hit can create sharp price moves if storage is tight or spare capacity is limited. Higher fuel costs can then move through transportation, food, and manufacturing. That would challenge central banks trying to guide inflation lower, and it could complicate interest-rate paths.
If inflation pressure returns, assets tied to real value may stand out. But if tensions ease quickly, markets could swing back toward growth shares and longer-duration bonds. The path from headline to portfolio impact is rarely smooth.
Signals to track next
Investors watching this story can look for clear, high-frequency signs:
- Energy prices and crack spreads for early hints of supply stress.
- Gold and silver moves as a read on fear and inflation hedging.
- Credit spreads and volatility indexes for broader risk appetite.
- Central bank speeches that address inflation risks from energy.
For now, Pomboy’s stress on tangible value mirrors a familiar market response to uncertainty. The choice for investors is how much to lean into that theme without losing balance. A measured approach—adding some hard-asset exposure while keeping ample liquidity and quality bonds—can help manage both inflation surprises and a potential cooldown.
The next moves in Washington and Tehran will shape the market’s tone. If tensions rise, the case for hard assets strengthens. If they ease, patience and diversification may prove the better guide. Either way, preparedness—not prediction—looks like the safer plan.
