The U.S. has sent the USS Theodore Roosevelt to join two other aircraft carriers in the Middle East, raising fears of escalating tensions in the region, particularly regarding Iran. This military buildup has contributed to a sharp increase in oil prices, with Brent crude rising 4.4% to $102.31 per barrel and U.S. West Texas Intermediate futures climbing 2.7% to $92.87 a barrel.
Additionally, the U.S. Treasury has imposed new sanctions targeting Iran's automotive and rail sectors, as well as a network used by the Iranian regime to evade sanctions. Despite rising oil prices, U.S. markets showed resilience, with the S&P 500 gaining 0.19% and both the Dow and Nasdaq also making slight gains, supported by a retreat in Treasury yields.
In corporate news, Nike reported a mixed fiscal first quarter, with a 26% revenue drop in China, and announced upcoming layoffs as part of a restructuring plan. Meanwhile, Google introduced its new AI model, Gemini 4 Argon, which has generated interest for its capabilities in coding and cybersecurity, indicating a shift in focus towards practical applications of AI technology