WS #12022

The US-Iran conflict continues to escalate sharply, with multiple sources confirming new attacks and retaliations. Iran's IRGC claims to have hit two 'offending supertankers' in the Strait of Hormuz, while the UAE reports two of its national tankers were struck by Iranian cruise missiles, killing one Indian crew member and injuring eight. The US launched a third night of strikes on Iran, with explosions reported in Kish, Qeshm, and Bandar Abbas. Iran's armed forces command has mandated all vessels use a Tehran-designated route for safe passage, effectively asserting control over the waterway. Oil prices are surging: WTI +2.27% to $79.91, Brent +2.14% to $85.11, extending Monday's 9.6% surge. The Nasdaq fell 1.55% as tech stocks sold off on oil spike and rate-hike fears. Bond traders have ramped up bets for a July Fed rate hike ahead of CPI data and Fed Chair Warsh's testimony. The dominant theme is ESCALATING US-Iran conflict with no counter-signals. The Strait of Hormuz toll proposal could generate nearly $200B annually for the US, but Iran's IRGC warns cooperation with the 'aggressor enemy' will delay reopening and create a global energy crisis.