🛢 Energy & Commodities risk-on · 1–3 years
A what‑if from the future

What if Red Sea convoy regime restores tanker flows?

A standing multinational escort system makes Red Sea tanker transit reliable again, draining the war-risk premium on diesel and jet-fuel cargoes routed via Suez.

21%
our model probability
over 1–3 years
prediction markets — wisdom of the crowd
loading live odds…
Empirically anchored 21% · 90% range 0–41% · 18 analogues · measured class deflation 69% in 3 yr · 3% held back for the unknown
how we built this number — every step
Measured class rate — deflation ≈0.3895/yr → 69% in 3 yr69%
Analyst prior · editorial share 26% of the class18%
Pooled · weight 75%21%
Crowd — no liquid market
Reserve 3% · no extremizing (×1.0)21%
Published21%

The class rate is measured from our dated, sourced event library (decade-normalized Poisson — the full table is public at base_rates.json). The variant’s share within its class is the analyst’s editorial call, published so you can audit it. A wider range means thinner precedent. Full recipe: methodology · scored at Reality Check.

The butterfly cascade

How this trigger trickles across markets, left → right — the root shock, its first‑order moves, then the ripple effects. Drag any node; tap a market for its real price history.

Resolution timeline — how this probability is moving

Our model's odds (gold) over time vs the crowd's (Polymarket, blue), from the past toward the 1–3 years horizon. Each dot is a real macro event that nudged the probability — green pushed it up, red pushed it down. Tap a dot for the source. The gold path is an illustrative reconstruction anchored to today's estimate — real dated events, not a live re-estimate history.

loading the timeline…

What it would mean

If this plays out, it is a risk-on shock. A standing multinational escort system makes Red Sea tanker transit reliable again, draining the war-risk premium on diesel and jet-fuel cargoes routed via Suez. The trigger decomposes into signed root‑shocks — Diesel ▼ · Geopolitical risk ▼ · Jet fuel ▼ · Risk appetite ▲ — which propagate through our causal graph to the markets below.

If it happens — the markets it would move

Biggest moves first. Projected moves are cascade-model priors; hist A–B% = what comparable past events actually did (measured abnormal returns), and model prior · unmeasured marks markets with no analogue backing yet. Tap any market for its price history.

MarketClassProjected move
1Volatility (VIX) VIXon Hyperliquid 📈 chartVol▼ -4.0%
hist -8.96–+1.01% · other way +13.32% (n=7)
2Nasdaq 100 NDXon Hyperliquid 📈 chartIndex▲ +1.7%
hist +0.39–+1.38% · other way -0.36% (n=7)
3Tech sector XLK 📈 chartEquity▲ +1.2%
hist +0.41–+1.05% · other way -0.44% (n=7)
4S&P 500 SPXon Hyperliquid 📈 chartIndex▲ +0.9%
hist -0.01–+1.25% · other way -0.15% (n=12)
5MicroStrategy MSTRon Hyperliquid 📈 chartEquity▲ +0.9%
hist -6.72–+12.03% · other way -2.89% (n=7)
6Solana SOLon Hyperliquid 📈 chartCrypto▲ +0.8%
hist -4.01–+6.02% · other way -4.61% (n=4)
7Semiconductors SMHon Hyperliquid 📈 chartEquity▲ +0.8%
hist +0.21–+0.7% · other way +0.74% (n=7)
8Hyperliquid (HYPE) HYPEon HyperliquidCrypto▲ +0.7%
model prior · unmeasured
9Ether ETHon Hyperliquid 📈 chartCrypto▲ +0.6%
hist -2.22–+3.91% · other way -2.63% (n=4)
10Bitcoin BTCon Hyperliquid 📈 chartCrypto▲ +0.5%
hist -6.32–+7.88% · other way -0.12% (n=6)
11Gold XAUon Hyperliquid 📈 chartCommodity▼ -0.5%
hist -0.41–+0.01% · other way +1.06% (n=7)
12Nvidia NVDAon Hyperliquid 📈 chartEquity▲ +0.6%
hist -3.0–+2.36% · other way -1.73% (n=7)
13High-yield credit HYG 📈 chartRate▲ +0.5%
hist -0.23–+1.02% · other way -0.06% (n=7)
14AMD AMDon Hyperliquid 📈 chartEquity▲ +0.5%
hist -2.6–+1.32% · other way +3.74% (n=8)

Probable recommendation

If the scenario above plays out, the probable cross‑asset positioning → a scenario‑conditional read, not personalized investment advice
For a common-man portfolio: A typical stock-heavy portfolio should benefit. Stay invested; you can lean modestly into the beneficiaries below.
Also moves (not yet on Hyperliquid): Tech sector +1.2% · High-yield credit +0.5% · Financials +0.3% · Lockheed -0.3% · JPMorgan +0.2% · Northrop -0.2%

Historical precedent — what analogous events actually did

Across 18 analogous events (overlap‑weighted), as abnormal returns — market beta stripped, so it's the event's own effect, not the market backdrop. Shown at 20 days (persistent) and 5 days (immediate); ↺ fades = the two horizons disagree. Confidence = consistency × sample × significance.

Henry Hub natural gas hits a 25-year low amid record US production 2024-11 Waha hub natural gas prices crash to record negative on Permian glut 2024-08 Platinum hits an 11-year high on Chinese jewelry demand and deficit 2025-06 Palladium jumps after US pushes G7 sanctions on Russian metal 2024-10 PJM grid emergency during Winter Storm Elliott 2022-12 European TTF gas hits all-time record high 2022-08 Texas grid failure during Winter Storm Uri 2021-02 Norilsk Nickel Arctic diesel spill 2020-05 WTI crude futures settle negative as demand collapses 2020-04 Silver hits 30-year high as JPMorgan and HSBC face manipulation suits 2010-10 Oil collapses from $147 to the $30s as the GFC craters demand 2008-12 Henry Hub natural gas spot price peaks during 2008 commodity boom 2008-07 Platinum hits all-time record near $2,290 on South African power crisis 2008-03 South Africa Eskom power emergency spikes platinum/PGMs 2008-01 Amaranth Advisors natural-gas blowup 2006-09 Northeast blackout cascading grid failure hits ~55 million 2003-08 Soviet August coup attempt against Gorbachev 1991-08 Volcker Saturday Night Special 1979-10
AssetHistory saysAbnormal (20d · 5d)HitnConfidencevs cascade
COIN COINLONG+31.2% · 5d +9.4%79%6 0.50✓ matches cascade
INTC INTCLONG+2.8% · 5d +1.2%78%17 0.43✓ matches cascade
RTX RTXSHORT-2.5% · 5d -1.8%74%18 0.41✓ matches cascade
NOC NOCSHORT-3.8% · 5d -0.8%72%17 0.40✓ matches cascade
LMT LMTSHORT-3.8% · 5d -1.9%74%18 0.37✓ matches cascade
Volatility VIXSHORT-6.4% · 5d -4.1%72%17 0.32✓ matches cascade
AMD AMDSHORT-2.7% · 5d -2.6%64%17 0.24⚠ differs
SPX SPXLONG+0.7% · 5d -0.2% ↺ fades63%18 0.22✓ matches cascade
ETH ETHLONG+3.6% · 5d -3.4% ↺ fades65%9 0.21✓ matches cascade
NDX NDXLONG+0.4% · 5d -0.7% ↺ fades64%17 0.20✓ matches cascade
US dollar DXYLONG+0.3% · 5d -0.4% ↺ fades61%18 0.18⚠ differs
AVGO AVGOSHORT-1.0% · 5d -1.6%59%10 0.16⚠ differs
MU MUSHORT-1.1% · 5d -2.0%58%17 0.15⚠ differs
ASML ASMLSHORT-1.8% · 5d -2.4%59%16 0.14⚠ differs

Methodology. Probability and impact are anchored to history and scored against what actually happens — wins and losses, in public, at Reality Check. Crowd odds live from Polymarket & Kalshi. By Vikas Singh, Quantitative Strategist. Updated 2026-07-03.