How long before people stop reacting to announcements from Trump that go nowhere? Arab mediators warn US and Iran are nowhere near a deal. The longer Trump fools the market the harsher the crash will be

Trump’s military advisors said to him, it’s wartime sir so it’s good to lie all the time to confuse the enemy. And Trump said, I can do that.

Remember last Monday: Trump said he was going to get the rest of the world to patrol the Strait of the Hormuz and Iran said that’s great because we will let the rest of the world go through. And by the end of the week neither of that had actually happened.

And I don’t remember what bull shit was believed the Monday before that. But note the VIX is going down, so bulls are getting used to this downtrend.

Trump told CNBC Iran agreed to no nuclear weapons and reopening the Strait of Hormuz.

Iranian officials called it fake news.

The 20-year Treasury yield, which had dipped to 4.82% on the announcement, rebounded to 4.97% within hours.

The bond market sided with Tehran on this one.