WS #12214

The US-Iran conflict continues to escalate, with the US striking an oil tanker enforcing a new Iran blockade, and Iraq shutting down the Khor Mor gas field due to security threats. This is driving oil prices higher and refining margins to record levels, while gold sinks below $4,000 on a stronger dollar and rising yields. The semiconductor selloff deepens, with SanDisk down 40% from its peak and memory stocks leading losses, dragging the Nasdaq 100. Fed's Logan called for 'modestly higher' interest rates, arguing one month of lower CPI is not enough, which reinforces hawkish expectations. Abbott Laboratories surged 12% on strong Q2 earnings and raised guidance, a bright spot in an otherwise risk-off session. The Dubai Media Office denied reports of explosions in downtown Dubai, countering earlier unverified claims. The dominant theme is the escalating US-Iran conflict, with the narrative arc ESCALATING, as new military actions and supply disruptions add to the geopolitical risk premium.