Goldman Sachs (NYSE:GS) CEO David Solomon says he’s surprised at the “benign” market reaction to the Iran conflict, warning it may take “a couple of weeks” for investors to digest impacts even as Bitcoin (CRYPTO: BTC) surged 5%.
The ‘Benign’ Market Reaction
Solomon spoke at a business summit in Sydney, expressing surprise at muted market reactions given the magnitude of the conflict, according to Reuters.
“I look at the market reaction, and I’m actually surprised that the market reaction has been more benign given the magnitude of this as you might think,” Solomon said.
Markets tend to react in a muted way to geopolitical events unless they have a direct impact on economic growth.
“There’s a cumulative effect of everything that’s happening and a much harsher reaction. Up to this point, we haven’t seen that cumulative effect,” he said.
The delayed reaction concerns Solomon. …