WS #13535

The dominant market narrative remains the US-Iran conflict and its impact on oil and the Strait of Hormuz, but this window shows a potential de-escalation signal: Iran and Oman have agreed on new coordinates for ships passing through the Strait, with a deal reportedly close but requiring US agreement. This is corroborated by Al Jazeera, Bloomberg, and multiple GDELT sources, and has already contributed to easing crude prices, with Brent trading near $79-80 and WTI around $76. However, shipping industry sources indicate the proposed deal, which would give Iran control of inbound traffic and impose fees, is not feasible due to US sanctions and insurance clauses, and Iran has clarified it does not mean a full reopening. This mixed picture keeps oil prices elevated but off highs, with the market awaiting concrete implementation. Separately, the AI/storage complex shows a strong counter-signal to the July selloff: SanDisk and Western Digital delivered beat-and-raise quarters with massive contracted revenue ($93.9B for SNDK) and customers coming back for more, while SiTime reported a blowout quarter with 127% revenue growth, all pointing to intact AI infrastructure demand. This is corroborated by multiple Bluesky posts and Seeking Alpha, suggesting the AI trade is stabilizing. Additionally, SpaceX shares are under pressure as its lockup expired today, with ~911M shares becoming tradable, adding to post-IPO volatility. In M&A, the UK approved Paramount's $110B acquisition of Warner Bros. Discovery, removing a major regulatory hurdle, while easyJet is set for a £5.7B Apollo takeover after Castlelake walked away. These are actionable for media and airline sectors.