WS #3002

The Strait of Hormuz crisis is evolving with new signals of potential de-escalation, as Iran indicates 'non-hostile' ships may be allowed safe passage, corroborated across multiple sources including jetstream.bsky.priority and reddit.wallstreetbets. This development could ease immediate supply shock fears, though oil prices have already dropped 3.66% to $88.97, with gas down 3.4%, reflecting market pricing of reduced risk premiums. However, the broader supply chain impact persists, with Thailand ending its diesel price cap due to Middle East conflict pressures and Qatar's LNG production cuts rattling big oil executives at CERAWeek, highlighting ongoing energy sector vulnerabilities. Simultaneously, geopolitical shifts are unfolding as China deepens economic cooperation with African nations like Kenya, positioning itself as a counterweight amid global turmoil. In corporate developments, OpenAI's abrupt termination of its Disney partnership and shutdown of the Sora AI video app represents a significant pivot in the AI sector, potentially affecting streaming and tech collaborations. Meanwhile, Meta faces a $375 million penalty for child safety failures, adding regulatory pressure on big tech. Indian markets show strong gains with Nifty up 2.13%, possibly buoyed by India's strategic purchase of 60 million barrels of Russian oil to mitigate Middle East supply disruptions, though this comes amid a record trade deficit with China exceeding $100 billion.