Joint Chiefs Chairman Gen. Caine has been advising President Trump and top officials that a military campaign against Iran could carry significant risks, in particular possibility of becoming entangled in a prolonged conflict, Axios reports citing source

• Envoys Jared Kushner and Steve Witkoff have been urging the president to hold off and give diplomacy a chance.
• A source with knowledge said Trump has been leaning towards launching a strike for several days, but agreed to give Witkoff and Kushner a bit more time for negotiations. Meanwhile, another source said Trump insisted on more negotiations by Witkoff and Kushner because he wants to make sure all avenues are "exhausted."

The caution from Joint Chiefs Chairman Gen. Caine about a military strike on Iran highlights rising tensions and the significant risks of escalation into a prolonged conflict. This suggests that while military action remains on the table, there is internal debate favoring diplomatic solutions, which could stabilize market sentiment in the short term. Investors should watch for market reactions in oil and safe-haven assets, particularly if further diplomatic efforts develop or if military actions are confirmed.