WS #11844

The dominant theme remains the escalating US-Iran crisis, which is now at a critical inflection point. President Trump has declared the ceasefire 'over' and threatened massive missile strikes if Iran attempts to assassinate him, while the US has imposed new sanctions on Iran, breaking a key clause of the June MoU. Iran's foreign minister is in Oman for talks, but the situation is de-escalating slightly as Iran privately admits targeting ships in the Strait of Hormuz was a mistake and signals willingness to continue dialogue. Oil prices have eased slightly (Brent at $76.01, WTI at $71.41) as IEA reports a recovery in global oil demand and some normalization of Hormuz traffic, but risks remain high. Separately, SK Hynix's $26.5 billion US IPO debuted strongly (+12.76% on Nasdaq), signaling continued investor appetite for AI-related semiconductor plays. Apple has filed a lawsuit against OpenAI for stealing trade secrets, which could impact the AI sector and Apple's partnership with OpenAI. Ukrainian drone strikes continue to hit Russian oil infrastructure, tightening global fuel supply. The Bank of Canada surveys show consumers and businesses expect inflation above 3% due to the Iran war and US tariffs, which could influence rate decisions. Trump threatens 100% tariffs on countries imposing digital services taxes, targeting European tech regulations.