Overnight Developments
U.S. Launches Strikes on Iran After Apache Downed in Strait of Hormuz — CNBC / Bloomberg
CENTCOM began “self-defense strikes” against Iranian air defense, ground control, and radar sites near the Strait of Hormuz at 5 p.m. ET Tuesday, in response to the downing of a U.S. Army Apache helicopter. Iran retaliated overnight against U.S. bases — Jordan said it intercepted five Iranian missiles, while Bahrain and Kuwait activated air defenses against “hostile aerial targets.” With Iran restricting tanker traffic through Hormuz — a chokepoint for ~25% of seaborne oil — WTI crude pushed toward $89/bbl and global equities sold off. Affected sectors: Energy, Defense, Transportation/Logistics, Financials
May CPI Lands This Morning — Energy Risk Skews Hot
The May CPI report is due 8:30 a.m. ET. With elevated energy prices already flagged as the main driver behind a concerning April print, an upside surprise today would compound the geopolitical risk-off tone just as the Fed enters its pre-meeting window.
Futures & Pre-Market
| Index | Futures | Change |
|---|---|---|
| S&P 500 | 7,340 | -0.44% |
| NASDAQ | 28,802 | -0.68% |
| DOW | 50,565 | -0.50% |
Watchlist Movers
- SMCI +7.7% pre-market (~$40.64) — rebound after Tuesday’s ~13% plunge on a $7B capital raise (S-3 shelf filing) to fund AI-server demand. A bounce off oversold levels, not a fundamental shift.
International Markets
Asia led the risk-off move: Nikkei 225 -1.85%, Hang Seng -0.64%, Shanghai -0.43%. Europe followed lower with the FTSE 100 -0.57% and DAX -0.66%. Energy was the relative outperformer everywhere on the Hormuz disruption.
What to Watch at Open
Watch crude and energy names for the geopolitical bid while the broad tape stays defensive on Hormuz headlines. The 8:30 a.m. May CPI print is the bigger swing factor — a hot number on top of the Iran escalation could turn a soft open into a real flush.
This alert is for informational purposes only and does not constitute financial advice.