WS #12685

The dominant signal in this window is the continued escalation of the US-Iran conflict, with multiple sources corroborating new military actions and their direct market impacts. The Houthis claimed a missile attack on the Saudi city of Jizan, while Saudi Arabia launched airstrikes on Hodeida. The US military disabled a second commercial tanker attempting to breach the blockade of Iranian ports in the Strait of Hormuz. Iran's IRGC claimed to have destroyed an Amazon data center in Bahrain, directly threatening AMZN's infrastructure. Oil prices remain volatile: Brent crude fell 3.88% to $96.78 after briefly topping $100, but the risk of further supply disruption persists. The US and UK are planning a high-level London meeting to form a coalition to protect shipping in the Strait of Hormuz, a potential counter-signal to the blockade thesis. Separately, Trump is reportedly considering an embargo on Spanish goods, adding a new front to trade tensions. On the corporate side, SAP surged 10% on strong cloud backlog growth, providing a positive signal for European tech. Intel fell 8% despite strong results, as AI capex concerns weigh on the sector. The Paramount-WBD merger faces further delays as a judge extended the restraining order, and Paramount agreed to delay until June 2027. The narrative arc is ESCALATING on Iran tensions, with oil prices and geopolitical risk remaining elevated, while trade war uncertainty expands to Spain.