WS #14174

The dominant US-Iran/Hormuz narrative remains in an escalation phase with no new de-escalation signals. Iran's deputy foreign minister reiterated that the Strait of Hormuz will only be opened under Iran's command, directly countering Trump's claim that he will declare it US territory. This rhetoric, combined with Iran's demand that the US 'correct its behavior' and end its naval blockade, suggests the standoff persists with no near-term resolution. Oil prices are already reflecting this tension, with crude heading for a 4% weekly gain and US gasoline prices at record highs for this time of year. The situation remains a key driver for energy stocks (XOM, CVX) and a headwind for airlines (DAL, UAL). Separately, a major development in the AI sector: Anthropic's IPO valuation is reportedly hinging on a $190-200 billion 2028 revenue forecast, with potential valuation up to $2 trillion. This is a significant signal for AI-related equities and the broader tech sector, though it may also raise concerns about IPO-driven capital outflows. Additionally, OpenAI is experiencing significant executive departures ahead of its own IPO, which could signal internal instability and impact sentiment on AI names. The Ukraine conflict shows continued drone/missile attacks on Kyiv and Moscow, but no new market-moving data points beyond the ongoing geopolitical risk.