WS #12096

The US-Iran conflict continues to escalate with new developments: US strikes on Iran entered a fourth day, and Iran has launched ballistic missiles at Jordan and drone attacks on Kuwait and Bahrain, widening the theater. Trump threatened to strike Iran's power plants and bridges next week, a significant escalation threat. However, a counter-signal emerged: Trump abandoned his proposed 20% Strait of Hormuz transit fee, which caused oil to ease off highs. Brent crude rose 1% to $85.60 on hostilities. Senate Democrats blocked the $1.15 trillion NDAA defense bill in a 50-46 vote, citing Trump's unauthorized Iran war, a political check on escalation. On the macro front, API data showed a smaller-than-expected crude draw (-564k vs -2.7M expected), which is slightly bearish for oil. In company news, Microsoft patched a record 622 flaws including two zero-days under active attack, a cybersecurity event that could impact tech sentiment. MAG7: NVDA's growth is tied to AI infrastructure constraints (power grids, cooling) per a detailed post, which could cap upside. TSLA Q2 earnings due July 22 with EPS estimate $0.48. The dominant narrative is ESCALATING for Iran conflict, but with a de-escalation counter-signal on Hormuz tolls.