The recent US-Israel military strike on Iran has triggered significant market volatility, aligning with the Benner Cycle's prediction for 2026 as "the time to sell." This development has led to soaring oil prices, raising concerns about inflation and prompting speculation about potential Federal Reserve interest rate hikes. Analysts suggest that the early months of 2026 may be an ideal period for investors to divest assets to avoid a predicted downturn. The surge in oil prices, driven by the conflict with a major oil producer, is expected to increase input costs globally, potentially leading to "warflation," as described by Professor Steve Keen. This situation could force businesses to either absorb costs, pass them on to consumers, or face shutdowns, while wages stagnate and living costs rise. Historical patterns indicate that oil price shocks typically influence inflation within 5 to 6 months, often resulting in Federal Reserve actions. Prediction markets and reports from the Atlanta Fed's Market Probability Tracker show a 19% likelihood of a Fed rate hike in 2026, reflecting unusual market conditions. The Benner Cycle's forecast of a major bear cycle lasting until 2032 may hinge on the duration and escalation of the Iran conflict.