When it appeared that the U.S. might be entering into a worldwide trade war last Monday, the U.S. stock market dropped two percent, before recovering most of its losses by the end of the day. But curiously, the bond market had no similarly negative reaction. This is noteworthy because interest rates on bonds tend to move in the same direction as investors’ collective expectations of future inflation. And despite months of warning that tariffs would cause massive consumer price increases in the U.S., when new tariffs seemed imminent, the most inflation sensitive investors in the world showed no signs of concern. Interest rates actually declined on “tariff Monday.”

Preparing for the next financial crisis requires more imagination than myopically focusing on news headlines. If something dominates your Twitter feed, it is already factored into people’s expectations. The reason a haunted house is scary is because you don’t know what will happen next. When you have the script and all of the lights are on, a guy jumping in front of you and screaming “boo” isn’t very terrifying.

Bond investors have been preparing for these possible tariffs. In the past two months, interest rates have steadily climbed. The average 30-year fixed mortgage rate has increased from 6.7% to 7.0, similar to the rate increase on 10-year Treasury bonds.

But on the day that inflationary tariffs were set to take effect, bond investors didn’t behave as if they were concerned – because those concerns have been increasingly factored into inflation expectations and bond prices since early October – not coincidentally the same time polls and betting markets shifted into Donald Trump’s favor.

Some stock investors panicked on Monday at the prospect of tariffs on Canadian, Mexican and Chinese imports – despite months of forewarning. There was nothing logical about developing a sudden tariff concern a week ago. Nor is it logical to worry about a regular visit to the dentist, but that doesn’t prevent some people from fretting about it.

Some people are simply predisposed to worry.

There are countless studies of the effect of worry on a person’s physical health –none of which are desirable. My personal observation is that chronic worry can cause more than high blood pressure or fatigue. People who are generally predisposed to worrying find it difficult to react appropriately when faced with a serious, unexpected threat. Stress is useful in fight-or-flight situations, but if your stress meter is constantly at 9 or 10, your capacity to address a real crisis is exhausted, if not compromised.

David Moon is president of Moon Capital Management. A version of this piece originally appeared in the USA TODAY NETWORK.