The Strait of Hormuz is the topic markets are trading around, says Tom Essaye, but he believes in a recovery if the conflict is over quickly. “To really cause economic strain, we need to see oil above $150” for a while before it affects U.S. economic growth, especially with low unemployment, he argues. He discusses what the Fed will do next, believing they will view high oil prices as a temporary spike. Tom points to underlying issues in AI sentiment and private credit that traders may not be paying enough attention to.