WS #6864

The dominant theme remains the escalating Iran-US conflict (ESCALATING), with new developments reinforcing the severity. Multiple sources report a tenuous ceasefire appears to be holding after US strikes on Iranian oil tankers, but a separate source calls the ceasefire 'fiction' and reports the biggest Gulf clashes since April 7, with Iran blocking the Strait of Hormuz. Iran may require foreign firms to obtain permits for undersea internet cables in the Strait, affecting 15-20% of global data traffic. Prediction markets show active trading on Iran-related outcomes, including permanent peace deals and Strait of Hormuz blockade lifting. The ceasefire narrative is contradicted by reports of continued clashes, creating uncertainty for oil markets and energy stocks. Separately, the tech/AI theme continues to dominate US markets. Intel (INTC) hit a record high, leading the SPX +25%, with reports of a preliminary chip-making agreement with Apple. Akamai (AKAM) surged 26% on a $1.8B AI infrastructure deal with Anthropic. Semiconductor stocks (INTC, QCOM, AMD) are up double-digits, while other sectors are flat to down. Dan Ives says AI boom still early, tech stocks could climb another 15% this year. Trump Media (DJT) posted a $405.9M loss with only $871K in revenue, a negative signal for the stock. UK local elections saw Reform UK surge, putting pressure on PM Starmer, but this is a UK-specific political development with limited direct US market impact.