WS #8269

Markets opened higher on Tuesday, with the S&P 500 near all-time highs, driven by optimism over a potential US-Iran deal to reopen the Strait of Hormuz. However, the situation remains volatile: Iran condemned US strikes as a 'gross violation' of the ceasefire, while Israel stepped up strikes in Lebanon. Oil prices surged 3% to $99.10 on the escalation. The dominant macro narrative is the US-Iran crisis, which is ESCALATING with new military actions. A key counter-signal: Bloomberg reported stocks gained on optimism over a US-Iran deal, suggesting diplomatic progress may offset some geopolitical risk. On the corporate front, Micron (MU) surged ~8.4% pre-market after UBS raised its price target from $535 to $1,625, citing AI-driven memory demand, with multiple short liquidations reported. This is a high-signal event for MU and the semiconductor sector. The Supreme Court declined to hear Meta's bid to avoid a Vermont lawsuit over Instagram addicting teens, a negative for META. BP ousted its board chair over conduct concerns. Ferrari plunged after unveiling its first EV at $640,000, losing ~$3B in market cap. The Dropbox CEO transition is ongoing but no new data this window. The Iran situation remains the macro backdrop, but the key developments this window are the Micron analyst upgrade, the Meta legal setback, the BP governance shock, and the Ferrari EV disappointment.