Oil prices climbed for a fifth consecutive day, with Brent crude rising above $105.50 a barrel, as stalled US–Iran diplomacy and the effective closure of the Strait of Hormuz heightened concerns over global supply disruptions.
The situation has driven oil toward its biggest weekly gain since the early days of the conflict, while also pushing US Treasury yields and the dollar higher as investors seek safety.
Equity markets showed mixed performance: global stocks are heading for a weekly decline, European markets are set to open lower, but technology shares — especially semiconductors — remained resilient, supported by strong earnings outlooks from companies like Intel and gains in Asian chipmakers.
Despite some easing in risk premiums, uncertainty remains high as investors monitor geopolitical developments and the potential for either escalation or renewed diplomacy. The continued restriction of oil flows through Hormuz is tightening markets and supporting prices, raising concerns about broader economic impacts. At the same time, corporate earnings have been largely strong, with a majority of US firms beating expectations, helping to stabilise markets amid volatility.
Notable corporate developments include workforce reductions at major tech firms, advances in AI, strong performance in semiconductor stocks, and significant activity in sectors such as media, aviation, and telecommunications.
UK retail sales were released in the past hour at 0.7% versus a 0% m/m change forecast. Later today, we have Canadian retail sales and revised Michigan Consumer Sentiment.
