WS #14268

The dominant Middle East escalation narrative persists, with the US-Iran ceasefire expiring and Iran shifting to a 'fully offensive' posture, threatening Hormuz. However, a potential de-escalation signal emerges: Iran and Oman have reached an 'understanding' on a new Hormuz transit route map, which could partially reopen the strait and dampen oil supply fears. This is corroborated by multiple sources (Al-Monitor, GDELT, Reuters). Separately, the US 30-year Treasury yield hit 5.3%, the highest since 2007, driven by fiscal concerns and a steepening yield curve, pressuring long-duration assets. In AI infrastructure, Nvidia's $105B guarantee for OpenAI's Ohio data center is confirmed across multiple outlets, with SEC guidance removing risk rules, supporting the AI capex narrative. The optics complex is surging on indium phosphide price hikes, with AXT, Coherent, and Lumentum leading. RTX's $22.9B Tomahawk contract is a high-significance defense development. The macro backdrop shows gold above $4,400, copper at six-month highs, and the dollar weakening, reflecting stagflationary pressures.