WS #8029

The US-Iran situation remains the dominant market driver, with multiple signals pointing to escalation. The Israeli army declared maximum alert over expected escalation with Iran, and Iran threatened to target undersea internet cables if US strikes occur, sparking fears of global disruption. The US is preparing fresh military strikes against Iran, and the Iranian military has entered its highest state of alert. An IRGC-linked operative allegedly plotted to assassinate Ivanka Trump. These developments corroborate a bearish geopolitical risk narrative. Countering this, OPEC+ is set to raise July oil output by 188,000 barrels per day, which could dampen oil price spikes. Separately, Delivery Hero confirmed an approach by Uber for a potential takeover, impacting UBER and DHER. Nvidia included a $200 billion CPU market projection including China, which could support NVDA. A coal mine explosion in China killed at least 90, the deadliest in 16 years, potentially impacting Chinese coal stocks. Private credit defaults surged to a record high, signaling stress in credit markets. The CDC expanded Ebola screening to Atlanta airport, a low-probability but high-impact risk.