WS #10805

The dominant signal in this window is the US military strikes on Iran, which represent an escalation of the fragile ceasefire. Multiple sources (Al Jazeera, BBC, Bloomberg, and various social media accounts) corroborate that US carrier-based aircraft struck IRGC positions near the Strait of Hormuz in response to an Iranian drone attack on a commercial vessel. This development threatens the June 17 memorandum of understanding and could disrupt shipping through the Strait of Hormuz, impacting global energy markets. Iran's parliamentary national security committee has warned of 'retreat and regret' for the US, and Hezbollah supporters are burning tires to block roads to Beirut airport, indicating potential broader regional instability. The strikes are now reported as 'done' by CNN citing a US official, but the geopolitical risk remains elevated. Separately, GameStop (GME) issued a strong FY2026 outlook, expecting adjusted EBITDA exceeding $600M (vs $345.4M in FY2025), sending shares up ~3% in after-hours trading. The company also remains focused on acquiring eBay. This is a significant positive catalyst for GME. Additionally, Anthropic is reportedly moving toward a deal with the US to lift curbs on AI models, which could be bullish for AI-related tech stocks. On the macro front, Venezuela earthquakes have killed 920 people, but this is unlikely to have direct US market impact. The overall narrative is one of geopolitical escalation (US-Iran) with a counter-signal from GME's strong guidance and potential AI regulatory easing.