OpenAI and Oracle launched a $100 billion Stargate infrastructure partnership powered by Nvidia chips, with initial data center deployment in Texas.

The geopolitical standoff around the Strait of Hormuz dominated headlines as Trump announced Iran had told the U.S. it will keep the strait toll-free, covering insurance fees and charges, while shipping plans and UN evacuation preparations remained in motion. The U.S. and Iran continued trading competing claims on the corridor, with operational stakes remaining high despite Trump's assertions about the toll situation. Energy and oil markets responded sharply to Hormuz-related headlines, while Trump called for a DOJ probe into petrol price gouging as crude prices slid.

Global markets steadied after a sharp tech-led selloff as investors weighed whether AI spending is worth the price and whether rate expectations will stay elevated. The S&P 500 and Nasdaq moved near key intraday levels with elevated volatility, while traders rotated cautiously across sectors. Micron's earnings became a focal catalyst for semiconductors, with a fast-moving chip reset keeping investors in a constant repricing cycle driven by broader AI-driven semis volatility. U.S. gasoline prices dropped 11% for the sixth straight week, driven in part by shifting Hormuz risk. U.S. financial conditions and rate expectations were stress-tested as officials pushed different messages on inflation and growth, with Treasury Secretary Scott Bessent stating: "We can have GDP growth above 3% before the end of the year."

Regulatory activity accelerated across multiple domains. The House and Senate advanced major U.S. housing legislation aimed at increasing supply and lowering costs, while U.S. courts again constrained aspects of immigration enforcement by ruling on limits around databases and deportation procedures. Chinese regulators tightened access to overseas investing through derivatives while detaining Japanese nationals over alleged rare-earth smuggling, underscoring increased scrutiny around cross-border capital and critical minerals. The EU pushed forward with tax simplification and a clearer digital payments framework, while regulators continued tightening oversight around AI and data security. A deadly rail crash in Bedfordshire was linked to a signal passed at danger, raising new questions about braking and warning systems; investigators said the train passed a danger signal moments before impact, killing the driver.

Technology and corporate dealmaking showed significant momentum. Microsoft said Copilot-supported activity helped disrupt cybercrime tools, signaling AI could be deployed as a defensive force rather than only a productivity enhancer. Qualcomm moved to buy Modular for an AI push, while Alphabet joined the Dow, reshaping the index world. Tech and AI regulation accelerated on multiple fronts, from privacy and employee tracking to enforcement planning and new oversight tools.

Across other sectors, European defense stocks took a hit after Germany scrapped or scaled back major warship plans, sharply altering the outlook for contractors tied to procurement cycles. A blockbuster nuclear financing push was underway as the U.S. moved to support reactor development, facing the question of whether it could meet rapidly rising data-center demand. Climate and extreme heat escalated into operational crises across Europe, prompting power disruptions and school closures and turning weather into a direct economic and grid risk. Protein and food safety pressures mounted as companies faced compliance risks across consumer staples, from dyes in confectionery to potential product recalls.