The S&P is flirting with closing highs while the World Bank president warns of "months of disruption" even after Hormuz reopens. Meanwhile, the Fed's beige book shows businesses are slamming the brakes on major decisions due to war uncertainty. Wall Street is betting on a swift resolution, but the real supply chain carnage is still building in the pipeline. This is textbook late-cycle delusion—markets soaring while structural headwinds pile up like freight cars on a collision course.