New Delhi, April 2 -- War has dented the outlook for U.S. economic growth, but investors who think that's a sign to short the market should think again.

Even with hopes that the Iran war will soon wind down, oil prices are very unlikely to revert to pre-conflict levels, meaning it will remain a drag on economic growth. Counterintuitively, that could ultimately be good for stocks if it can tame inflation, according to 22V Research.

At this point, investors are hoping for the best and trying to ignore all the ongoing uncertainties about the war even as the S&P 500 wrapped up its worst quarter since 2022 on Tuesday. Although any conclusive peace agreement remains elusive, the thought is that the U.S. is at least edging closer to de-escalat...