WS #5771

The Iran-US conflict in the Strait of Hormuz continues to escalate, with new developments including US naval blockade directing 33 vessels to turn around, Iranian air defenses engaging targets over Tehran, and Iran's president pledging unity behind the Supreme Leader. The IEA chief warns 13 million barrels a day are at risk, the biggest energy security threat in history. Oil prices remain elevated, with Fidelity's Jurrien Timmer warning that the longer oil prices stay high, the longer stocks will correct. The SNB signals greater willingness to intervene in FX markets as the Swiss franc loses value due to the conflict. Separately, Meta confirms 8,000 layoffs (10% workforce) as AI investment surges, while OpenAI announces GPT-5.5. The White House accuses China of industrial-scale AI theft. Warner Bros. shareholder vote on Paramount sale is approved. Germany halves GDP growth forecast to 0.5% for 2026. Microsoft offers voluntary buyouts to 8,750 US employees (7% of US workforce).