WS #2939

The data dump reveals a critical shift in the Middle East conflict, with Iran announcing that 'non-hostile' ships can sail through the Strait of Hormuz, as reported by the New York Times and corroborated by multiple sources (items 295228324, 295120571, 295118623). This development, combined with Trump's signals of talks and market expectations of de-escalation, has driven a sharp 5-6% drop in oil prices (U.S. crude to $87.63, Brent to $98.17), as seen in items 295237687, 295209617, 295204496, and oilprice.com data. This price decline, despite the earlier seizure of the Strait, suggests the market is pricing in reduced supply disruption risks, potentially easing inflationary pressures and benefiting sectors like transportation and consumer discretionary. Concurrently, geopolitical tensions remain elevated with Iranian drones targeting Kuwait International Airport (item 295269411) and missile launches toward Israel (item 295122551), which could support defense stocks and safe-haven assets like gold, which rallied nearly 2% to $4,561.09/ounce (item 295149401). In corporate news, Merck is nearing a $6 billion deal to buy Terns Pharma to boost its oncology pipeline, as reported by the Financial Times and multiple sources (items 295269662, 295265008, 295257582, 295253456), which could move MRK and biotech peers. Additionally, SK Hynix highlighted HBM as a key growth driver due to AI demand (items 295184508, 295138348, 295132738), reinforcing bullish sentiment for semiconductor stocks like NVDA. Other items, such as vessel alerts, political noise, and social media chatter, are largely market noise.