WS #5910

The dominant signal in this window is the escalating Strait of Hormuz crisis, with multiple sources reporting Iran's threat to respond to the US naval blockade, which it calls 'piracy.' This is corroborated by reports of 34 ships being intercepted since the blockade began on April 13, and a potential loss of one billion barrels of oil. This development is highly significant for oil markets, likely driving crude prices higher and benefiting energy sectors while hurting airlines and shipping. Separately, US stocks hit new highs, with the Nasdaq up 1.6% on Intel's revenue beat, diverging from European markets. The DOJ probe into Powell has ended, clearing a key hurdle for Kevin Warsh's Fed chair confirmation, with the Senate Banking Committee vote set for April 29. This reduces near-term policy uncertainty and could be modestly positive for financials. Other items are noise: a Russian drone crash in Romania, a glue factory fire in Iran, a wildfire in LA County, and routine market commentary.