WS #8862

The US-Iran conflict continues to escalate, with multiple sources reporting Iranian ballistic missiles targeting Kuwait and Kuwaiti air defenses intercepting them. This follows a US airstrike on Qeshm Island and the interception of an Iranian oil tanker. The conflict is broadening, with direct attacks on a US ally. Oil holds two-day gains on discordant US-Iran peace talk reports. Separately, SpaceX is planning to set IPO terms as early as Wednesday, with a potential $1.8 trillion valuation, which would be the largest IPO ever. GameStop reported record quarterly profit driven by collectibles and announced a $2 billion buyback. Palo Alto Networks reported strong Q3 results with 31% revenue growth. AVGO partnered with Anthropic on a $36B deal. The US Treasury sanctioned Iranian crypto exchanges. Bitcoin dropped to a two-month low of $70,023. China is drawing down its strategic oil stockpile as Iran war cuts imports in half. Oil exporters outside the Strait of Hormuz are deferring maintenance to maximize output. The dominant narrative is the escalating US-Iran conflict, now at a higher intensity with direct attacks on Kuwait. This is bullish for energy stocks (XOM, CVX, XLE) and bearish for airlines (DAL, UAL, AAL), shipping (MATZ, ZIM), and consumer sectors. The SpaceX IPO is a major positive catalyst for tech and space sectors. The MAG7 narrative is mixed: AVGO's Anthropic deal is bullish for AI infrastructure, while Bitcoin's divergence from equities is notable.