WS #11802

The dominant theme in this window is the blockbuster debut of SK Hynix on the Nasdaq, which opened at $170 (14% above the $149 offer price) in the largest foreign IPO in US history, raising $26.5B. This signals strong demand for AI memory chips and is bullish for the semiconductor sector (MU, NVDA, AMD). However, the IPO may drain liquidity from existing AI trades, as noted by analysts warning of potential outflows from Micron. Separately, the US-Iran conflict remains in a volatile 'no ceasefire, but talking' phase: Trump agreed to continue talks but declared the ceasefire over, while Iran's top negotiator Ghalibaf said the conflict will never end with Iran's surrender and Tehran is ready for 'all-out defence'. This keeps oil supply risk premiums elevated, with Brent crude volatile around $76/barrel. The IMO condemned Iran's attempt to control Hormuz, reinforcing geopolitical risk. The European Commission ordered Meta to fix addictive design features on Facebook and Instagram, targeting infinite scroll and autoplay, which is a regulatory headwind for META. The Federal Reserve's monetary policy report acknowledged high inflation due to tariffs, reinforcing a hawkish stance. A deadly wildfire in southern Spain killed at least 12, but this is a local tragedy with limited market impact. The dominant narrative is STABLE in US-Iran tensions (ceasefire over, talks ongoing) and BULLISH for semiconductors driven by SK Hynix's IPO success.