WS #12998

The dominant narrative remains the sharp escalation in the US-Iran conflict, with multiple sources confirming a drone strike on an LNG tanker at Damietta Port, Egypt, and joint US-Saudi strikes on Iran-backed militias in Iraq. Oil prices have surged 7-8%, with Brent near $90 and WTI above $84. This is an escalation from the previous window, with Iran resuming missile attacks and China reportedly landing 16 military cargo planes in Iran. The oil spike is the primary market-moving signal, with second-order effects on energy stocks (bullish), airlines and consumer stocks (bearish), and the broader market as it complicates the Fed's rate decision later today. The tech selloff continues, with the Nasdaq 100 entering correction territory, driven by a rotation out of semiconductors (AMD, MU down sharply) and into enterprise AI names. The FTC lawsuit against Hims & Hers is confirmed, sending HIMS shares lower. The Fed decision looms, with markets pricing in a 70% chance of a hold, but the oil spike adds inflationary pressure. A counter-signal is the report that vessel traffic through Hormuz and Bab el-Mandeb straits remains stable, suggesting supply disruption fears may be overblown.