WS #14176

The dominant theme remains the escalating US-Iran/Hormuz crisis, with Iran's Deputy Foreign Minister Gharibabadi reiterating that only Tehran can open or close the Strait of Hormuz, and Foreign Minister Araghchi clarifying that Oman negotiations on navigation lanes are separate from reopening the strait, which depends on US compliance. This keeps oil prices elevated, benefiting energy names (XOM, CVX) and pressuring airlines (DAL, UAL). The Ukraine conflict shows a new high-impact development: a massive Ukrainian drone attack on Russia's largest Wildberries warehouse near Moscow, with 822 drones downed and flights suspended, escalating Ukraine's campaign against Russian logistics infrastructure. In the AI sector, Nvidia is reportedly in talks to invest up to $3 billion in SB Energy for an OpenAI data center project in Ohio, with a potential $100 billion credit support package, signaling continued AI infrastructure buildout. Additionally, US PPI data came in flat, below expectations, boosting software stocks like Cloudflare, MongoDB, and Palantir, as cooling inflation reduces the need for higher rates.