Finance

Crude oil prices surged as conflict in the Strait of Hormuz intensified, with Brent crude briefly surpassing $107 per barrel. Investors remain on edge over potential energy supply disruptions as U.S.-Iran peace talks appear to have stalled.

Tesla stock fell more than 3% following reports of a significant increase in projected capital spending for 2026. While quarterly results were stronger than anticipated, the market reacted poorly to Elon Musk's plan to invest $25 billion into AI and robotics, which may result in negative free cash flow for the remainder of the year.

While the broader tech sector struggled, semiconductor firms like Texas Instruments saw gains of over 10% due to an upbeat outlook and strong demand for AI and data center applications. This industry resilience highlights a growing divide where AI-integrated hardware firms are outperforming software peers impacted by cyclical economic shifts.

The total cryptocurrency market capitalization has consolidated around $3.5 trillion, supported by steady inflows into spot ETFs. Bitcoin continues to trade near $78,000 as major financial institutions like Morgan Stanley expand their digital asset offerings, though the market remains sensitive to geopolitical shocks affecting liquidity.

University of Michigan survey data for April 2026 shows a sharp rise in year-ahead inflation expectations, jump-starting from 3.8% to 4.8%. Consumers are increasingly citing the Iran conflict and rising energy costs as primary concerns affecting their personal finances and buying conditions.