WS #8714
The dominant narrative is a two-track market: AI-fueled record highs (Nikkei +0.9%, SoftBank becomes Japan's most valuable company) vs. escalating geopolitical risk. US-Iran conflict continues with fresh strikes near the Strait of Hormuz and Israeli strikes on Beirut's southern suburbs, but diplomatic channels remain open. Oil rose from a six-week low amid uncertainty over a peace deal. A new signal is the Norwegian oil & gas strike threat from June 5, which could tighten European supply. UK house prices fell for the first time this year due to Iran war-driven rate rises. Tesla registrations in Sweden surged +71% YoY in May, a bullish signal for TSLA. The AI narrative remains stable with SoftBank's €75B AI commitment and Nvidia's PC push. The US-Iran conflict is ESCALATING (new strikes, no deal), while the AI/tech narrative is STABLE.
Key developments
- US and Iran exchange fresh strikes near Strait of Hormuz; diplomacy continues
- Norway oil & gas workers threaten strike from June 5
- UK house prices fall 0.6% MoM in May as Iran war lifts mortgage rates
- Tesla new registrations in Sweden +71% YoY in May
- SoftBank becomes Japan's most valuable company; €75B AI commitment