WS #14259
The Middle East conflict remains the dominant market driver, with Iran signaling a shift to a 'fully offensive' posture as the MoU expires, and Trump threatening to bomb Oman over Hormuz. This escalation is pushing global bond yields to multi-year highs (German 10Y at 3.21%, highest since 2011) and keeping oil prices elevated, with Brent around $88.86 and Murban surging 6.74%. However, counter-signals are emerging: Saudi Aramco is offering crude via ship-to-ship transfers outside Hormuz, and 'dark' tanker transits are keeping oil flows above expectations, dampening the oil spike. In the AI infrastructure space, Nvidia's $1.5B investment in SB Energy and $105B credit for the OpenAI data center in Ohio reinforces the AI capex boom, while Micron continues to surge past $1,000 on memory supply squeeze, with BofA seeing EPS topping $230 by FY30. Berkshire Hathaway increased its stake in Alphabet by ~$17B and Delta Air Lines by 44%, signaling confidence in tech and airlines despite macro headwinds. The Gaza ceasefire talks show progress with Kushner meeting Netanyahu, but no final deal yet.
Topics
Key developments
- Iran shifts to 'fully offensive' posture as MoU expires, threatens Hormuz escalation
- Trump threatens to bomb Oman over Hormuz, escalating geopolitical risk
- Nvidia invests $1.5B in SB Energy, secures 8GW for OpenAI data center
- Micron surges past $1,000 on memory supply squeeze; BofA sees EPS topping $230 by FY30
- Global bond yields hit multi-year highs on Iran war inflation fears
- Berkshire Hathaway increases Alphabet stake by ~$17B and Delta by 44%
- Kushner meets Netanyahu for hours on Gaza ceasefire; progress reported