WS #9498
The US-Iran conflict narrative is STABLE but with a significant counter-signal escalation: Energy Secretary Wright publicly contradicted Trump's claim of a secret mission escorting oil tankers through the Strait of Hormuz, saying he is 'unaware' of any such operation. This administration split dampens the bullish oil narrative. Separately, an oil tanker was attacked off the coast of Oman, adding a fresh geopolitical risk premium. The tech selloff continues with SMCI -25% on $7B dilution fears, and the XLK Tech ETF has dropped from +38% YTD to +23%. Oracle won a US government contract for a cloud-based HR platform, a positive catalyst ahead of earnings. Visa partnered with OpenAI for agentic commerce, a bullish signal for fintech and AI adoption. The May CPI at 4.2% confirms inflation is sticky, keeping the Fed on hold. SpaceX IPO valuation at $1.77T is drawing scrutiny, with Renaissance calling it 'very steep' and Elizabeth Warren pushing to postpone. Cracker Barrel surged 30% on AI deployment plans. The dominant theme is tech selloff (ESCALATING) and US-Iran tensions (STABLE with counter-signal).
Key developments
- Energy Secretary Wright contradicts Trump's Strait of Hormuz claim, says he is 'unaware' of any oil takedown
- Oil tanker attacked and on fire off Oman coast
- SMCI -25% on plans to raise $7B for AI demand, triggering dilution fears
- Oracle wins US government contract for cloud-based HR platform ahead of earnings
- Visa partners with OpenAI for agentic commerce, enhancing AI and stablecoin capabilities
- May CPI at 4.2% (3-year high), Fed expected to hold with hawkish dot plot
- SpaceX IPO at $1.77T valuation faces pushback; Renaissance calls it 'very steep'
- Cracker Barrel stock surges 30% on AI deployment plans