WS #5724

The data dump reveals a significant escalation in the Iran conflict, with Iranian Revolutionary Guard seizing two vessels and opening fire on a third in the Strait of Hormuz, corroborated by jetstream and GDELT sources, pushing Brent crude above $100. This directly threatens global oil supply and shipping lanes, likely driving energy prices higher and increasing risk-off sentiment. Concurrently, U.S. Navy Secretary John Phelan has been abruptly dismissed, with Hung Cao taking over as acting secretary, adding to political uncertainty and potential shifts in defense policy. This leadership change, reported by GDELT and Reuters, signals ongoing instability in Pentagon leadership under the Trump administration. In corporate news, Tesla reported Q1 2026 free cash flow of $1.44 billion, significantly beating expectations of -$1.43 billion, a bullish signal for TSLA amid its AI and robotics investments. IBM's Q1 revenue growth slowed to 9% from 12.2% in the previous quarter, sparking concerns about AI disruption to its software business, bearish for IBM. Additionally, Tim Cook will step down as Apple CEO on Sept. 1, 2026, succeeded by John Ternus, a high-significance leadership transition for AAPL. The Bank of Japan is expected to keep rates steady but signal readiness to hike in June due to war-driven energy shocks, affecting global bond markets and yen-sensitive sectors.