Finance

Energy prices and broader market sentiment remain in wait-and-see mode as negotiations to reopen the vital Strait of Hormuz face tough demands. While Iran has stated it is close to a shipping lane agreement with Oman, Tehran maintains it will not reopen the waterway unless the United States meets multiple specific conditions, including lifting sanctions and ending its naval blockade.

Wall Street strategists are raising their targets for the S&P 500 as corporate profit growth demonstrates immense historical strength, with the vast majority of firms beating analyst expectations. Financial firms point to rising artificial intelligence capital expenditures and strong cloud expansion at major tech hyperscalers as key drivers that have eased return on investment concerns.

The PHLX Semiconductor Index has staged a notable recovery, advancing more than 18% since late July. Despite this strong short-term upward momentum, major chip manufacturers like Nvidia, Broadcom, and Micron still need substantial gains to reach the record highs achieved earlier in the summer.