WS #9273
The Israel-Iran conflict continues to escalate with fresh Israeli airstrikes on central and western Iran, including a petrochemical complex in Mahshahr, and an Iranian ballistic missile striking Jerusalem. This defies Trump's call for restraint, indicating the conflict is intensifying. European futures are down sharply (Eurostoxx 50 -1.2%, DAX -1.3%), Asian chip stocks are slumping on AI rally unwinding, and oil prices have jumped over 3%. Bitcoin has dropped below $63,000 on risk-off sentiment. The narrative is clearly ESCALATING with no de-escalation signals. Meanwhile, Nvidia announced a mega-alliance with SK Group for AI factories and next-gen HBM, a positive signal for the AI sector that may partially offset broader tech weakness. Japan's Q1 GDP beat expectations at 1.8% annualized, providing a slight positive for Japanese equities.
Key developments
- Israel strikes central and western Iran, defying Trump's call for restraint
- Iranian ballistic missile strikes Jerusalem
- European futures down sharply; Eurostoxx 50 -1.2%, DAX -1.3%
- Asian chip stocks slump as AI rally loses steam; Japan, S.Korea worst hit
- Oil jumps over 3% on fresh Mideast escalations
- Bitcoin drops under $63,000 on risk-off sentiment
- Nvidia announces mega-alliance with SK Group for AI factories and next-gen HBM
- Japan Q1 GDP annualized beats expectations at 1.8% vs 1.3% est.