Despite stunning early successes in Israel’s unprecedented strikes on Iran, a weekend of intensive bombardment and retaliation is raising questions about Israel’s exit strategy – how it can end this conflict with its ambitious goals achieved.

The main macro threat from fighting between Israel and Iran is a run-up in energy prices that persists and drives headline inflation higher.

Stocks rose and oil prices retreated on Monday as investors shrugged off the continuation of hostilities between Israel and Iran over the weekend.