WS #7139

The dominant narrative remains ESCALATING geopolitical tensions in the Middle East, with new developments reinforcing the risk of a broader conflict. Iran has warned it could enrich uranium to 90% purity if attacked again by the US or Israel, a significant escalation in rhetoric. An earthquake was reported in Tehran, though its impact is unclear. Trump expects the Strait of Hormuz to reopen shortly, according to White House Senior Adviser Kevin Hassett, describing the energy disruption as short-lived. This is a potential counter-signal to the prevailing oil supply crisis narrative. US lawmakers move to block Chinese electric vehicle parts from the domestic market as Trump prepares for a diplomatic visit to Beijing. Hezbollah claims it struck an Israeli engineering vehicle with a drone in southern Lebanon. Trump's approval crashes amid inflation spikes, and the cost of the Iran conflict is estimated at $29 billion. The Golden Dome missile-defense system is now estimated to cost $1.2 trillion over 20 years, far beyond the $175 billion floated. On the corporate side, Brown-Forman finds Sazerac's $15B offer hard to swallow, SBA Communications sinks on report of exclusive talks with KKR, and Red Cat launches a $200M public stock offering. Several earnings reports were released, but most are small-cap and unlikely to move broad markets. The macro theme of Middle East escalation and oil supply disruption remains the primary signal.