Oil rallied despite limited geopolitical reaction after President Donald Trump said Iran is a "state of collapse" and suggested Tehran wants the Strait of Hormuz reopened "as soon as possible."
West Texas Intermediate crude jumped 3.6% to about $100 per barrel, while Brent rose 2.8% to $111.28, with ongoing disruption in the Hormuz route keeping supply risk premiums elevated. Prices held gains even after the United Arab Emirates signaled plans to exit the OPEC+ cartel, a move that could boost future supply.
Meanwhile, fresh doubts around artificial intelligence spending weighed on tech. Reports that OpenAI missed internal user-growth targets reignited concerns over whether aggressive capital expenditures in AI are justified, triggering broad selling across software and semiconductor names.
The S&P 500 fell 0.5% to 7,137, pulling back from record highs. The Nasdaq 100 dropped 0.9% to 27,052, led lower by AI-linked stocks. Within the Magnificent Seven, Nvidia Corp. (NASDAQ:NVDA) declined 1.2%, while Meta Platforms Inc. (NASDAQ:META), Microsoft Corp. (NASDAQ:MSFT), and Alphabet Inc. (NASDAQ:GOOGL) traded lower ahead of earnings due after the close Wednesday.
The Dow Jones Industrial Average outperformed, rising 99 points, or 0.2%, supported by gains in The Coca-Cola Company (NYSE:KO), JPMorgan Chase & Co. (NYSE:JPM), and UnitedHealth Group Inc. (NYSE:UNH).
Coca-Cola surged 6.5% after first-quarter earnings beat expectations. The company reported EPS of $0.86, topping the $0.81 consensus, on ...
