WS #6085

The dominant narrative remains the Iran conflict, with oil prices surging (WTI +2.82%, Brent +3.39%) and the UK warning the price shock could last eight months. However, a potential de-escalation signal emerges: Citadel Securities suggests stocks and bonds can rally as the Iran conflict moves closer to resolution, even with the Strait of Hormuz stalemate. This counters the prevailing bearish thesis. Separately, China has blocked Meta's $2 billion acquisition of AI startup Manus, a high-significance geopolitical move that could weigh on META and AI sector sentiment. MACOM announced long-term supply agreements with IQE plc, a positive for MTSI. Repay stock jumped 11% on preliminary Q1 adjusted EBITDA beating consensus. The White House shooting narrative continues but with no new market-moving details. Global military spending rose 2.9% to a record $2.89 trillion, with Europe up 14%, signaling potential defense sector tailwinds.