WS #8397

The US-Iran military confrontation continues to ESCALATE, with multiple sources reporting fresh US airstrikes on Iranian military sites in Bandar Abbas and the downing of four Iranian attack drones. The US Treasury has added Iran's new Persian Gulf Strait Authority to sanctions, and a naval confrontation in the Strait of Hormuz was reported, with an American oil tanker forced to turn back after warning shots from the IRGC Navy. Oil prices spiked 2% in early Asian trade, with WTI at $90.51. Fed's Goolsbee warned of persistent energy inflation and an 'old-style stagflation shock' for Asia, reinforcing the stagflation narrative. Separately, Meta's paid subscription tiers (IG/FB Plus, WhatsApp Plus, Meta One AI) were reported, with the stock cited up ~3% to 638, a bullish signal for META. Nvidia posted blowout earnings with revenue hitting $85.5B, though this appears to be a recirculated report. The New Zealand Treasury released its budget, showing a wider deficit and inflation peaking at 4.0% in Q2 2026, a bearish signal for NZD. The dominant theme is ESCALATING US-Iran conflict with oil price implications.