Investors Adjust to New US-Iran Normal: No Peace, No War

In another reversal, US President Donald Trump announced a unilateral, open-ended extension of the ceasefire in the Iran war. Now, there's no peace, but no active war either. This may become the new normal: a fragile ceasefire without a formal deal, with tensions simmering, sporadic flare-ups, and oil near $100. A geo-economics analysis by Bloomberg Economics highlights that the war may be settling into a prolonged middle ground: on the one hand, no formal end to the hostilities between the US/Israel and Iran because the underlying differences remain unresolved, and on the other hand, a costly escalation that draws the US deeper into a conflict it doesn't want. Ray Takeyh, Council on Foreign Relations Hasib J. Sabbagh Senior Fellow for Middle East Studies, joins Bloomberg Businessweek Daily to discuss. He speaks with Carol Massar and Tim Stenovec.