US stocks emerged as the strongest performers during the 2026 US-Iran war that ran from February 28 to June 17, while traditional safe-haven assets gold, silver, and Bitcoin lost ground. The S&P 500 and Nasdaq climbed to records across the conflict span, with the S&P 500 trading approximately 9% above its pre-war level and the Nasdaq roughly 14% higher. Gold entered the war near record highs at $5,281 on February 27 but posted four consecutive monthly declines, falling to $3,942 by June 30—its lowest level since early November 2025. The reversal occurred as traders sold the news after months of buying geopolitical risk, with the precious metal declining about 16% during the second quarter.
Gold Reversal After Record Pre-War Highs
Gold had rallied nearly 60% over the eight months preceding the conflict, reaching $5,281 by February 27, close to its all-time peak. Israel and the United States struck Iran on February 28, killing Supreme Leader Ali Khamenei. Gold spiked briefly following the strike, then reversed as traders sold the news after months of buying the rumor.
The precious metal declined about 16% during the second quarter, marking its weakest quarterly performance since Q2 2013. Gold had dropped 17% by June 17, when the Islamabad Memorandum was signed and the war officially ended. It extended losses to 22% by mid-July as the conflict reignited. Silver fared worst among precious metals, sinking 37% over the same stretch.
![Line Chart of the Best US-Iran War Hedge, Showing the S&P 500, Nasdaq, Gold, Silver, and Bitcoin Indexed to 100 From Late February 2026]()
US Equities Rally Despite Early March Decline
US equities won despite an early scare. The S&P 500 dropped nearly 8% into late March, then rallied to fresh records. It now trades about 9% above its pre-war level, while the Nasdaq sits roughly 14% higher.
The June 17 Islamabad Memorandum ended the war and steadied markets. The deal left control of the Strait of Hormuz ambiguous. That gap reopened in July, when Iran reportedly struck tankers and the United States resumed strikes.
Bitcoin Behaves as Risk Asset With 2% War Decline
Bitcoin behaved like a risk asset rather than a haven. It climbed to an intraday high of $82,791 on May 10 during a broad risk-on stretch. The token round-tripped and closed the war down about 2%.
Bitcoin slipped further as tensions returned in July. It traded near $62,000 by July 13. It rebounded by nearly 4% the next day, closing at $64,956, just 1.4% below its pre-war level.
![Annotated Bitcoin Price Chart Marking 2026 US-Iran War Hedge Escalation and De-Escalation Events]()
Cooling US inflation drove the bounce. June consumer prices fell 0.4% on the month, the biggest drop since April 2020. That eased fears of another Fed rate hike and caught bearish traders offside. Coinglass data showed roughly $292.79 million in short positions liquidated, against $292.79 million in long positions.
Oil Tracks War Escalation With 63% Surge to $118
Oil behaved the way gold was supposed to. Brent crude tracked the fighting, rising on escalation and falling on peace. Brent started the war near $72 on February 27. It surged 63% to $118 by late March, as strikes threatened supply through the Strait of Hormuz. The waterway carries roughly a fifth of the world's oil.
Prices reversed as the war wound down. Brent round-tripped to about $70 by July 1, erasing the entire wartime gain. The June ceasefire removed the supply threat that had driven the spike.
![Oil Prices Through The US-Iran War]()
The July flare-up sent it higher again. Brent jumped nearly 18% in a week after Iran struck tankers and the United States reinstated its Hormuz blockade. It traded above $84 by July 15.
FAQ
Which asset performed best during the 2026 US-Iran war?
US stocks performed best during the 2026 US-Iran war. The S&P 500 traded about 9% above its pre-war level, while the Nasdaq sat roughly 14% higher by the conflict's end.
Why did gold fall during the 2026 US-Iran war?
Gold fell during the 2026 US-Iran war because it had already rallied nearly 60% over the prior eight months, reaching $5,281 by February 27. Traders sold the news after months of buying the rumor, causing the metal to decline about 16% during the second quarter.
How did Bitcoin perform during the 2026 US-Iran conflict?
Bitcoin behaved like a risk asset during the 2026 US-Iran conflict. It climbed to an intraday high of $82,791 on May 10, then round-tripped and closed the war down about 2%. It traded near $62,000 by July 13 before rebounding to $64,956 on July 14.
