WS #7093

The Iran crisis narrative continues to escalate with multiple new developments. A report claims the UAE carried out secret strikes on Iran, hitting a refinery on Lavan Island, corroborated by multiple sources (jetstream.bsky, Middle East Eye). Iran's parliamentary commission has threatened to enrich uranium to 90% if the US renews attacks, a major escalation. Trump announced plans to cut the federal gas tax to offset rising fuel prices, a counter-signal to the oil price spike. The BoJ held rates at 0.75% but hiked its inflation outlook to 2.8% due to the Iran conflict, a hawkish signal for Japan. Germany's CPI rose to 2.9% in April, the highest since January 2024, driven by energy prices. India is weighing emergency steps to protect forex reserves, indicating stress from the oil shock. Bristol-Myers Squibb signed a licensing deal with Hengrui worth up to $15 billion, a positive for BMY. Siemens Energy raised its FY26 outlook after strong Q1 results. The UK political crisis continues with Starmer facing a rebellion, but the King's Speech is proceeding. Overall, the Iran/oil disruption theme is ESCALATING, with energy bullish and risk-off sentiment persisting, partially offset by the US gas tax cut and SPR release.