Oil Prices Surge 7% as Major Averages Decline

The major averages were dropping as oil prices surged once again after the U.S. launched new strikes on Iran, with President Trump saying the ceasefire is "over." Oil prices are up over 7% near midday on fears that renewed hostilities and attacks near the Strait of Hormuz could disrupt global energy supplies. The rally is boosting shares of oil producers, while weighing on airlines, cruise operators and other travel-related stocks that are sensitive to higher fuel costs.Meanwhile, traders are keeping an eye on this afternoon's release of the Federal Reserve's June meeting minutes for additional insight into policymakers' views on inflation and interest rates. However, with oil prices climbing and geopolitical tensions escalating, markets may place greater emphasis on developments in the Middle East than on backward-looking Fed commentary.Get caught up quickly on the top news and calls moving stocks with these five Top Five lists.1. STOCK NEWS:After U.S. Central Command launched strikes on targets in Iran in response to its attacks on commercial vessels passing through the Strait of Hormuz, U.S. President Donald Trump said that theAppleannounced awith Broadcomto design and produce custom silicon components and cutting-edge wireless connectivity technologiesDream Finders Homeshas submitted aBeazer Homesfor $32 per shareChina will allow top AI companies to buy some NvidiaH200 chips,Estee Lauderseeson its previously announced restructuring2. WALL STREET CALLS:Dollar Treeto Outperform at Raymond James and to Neutral at Goldman SachsOccidentalto Outperform at Evercore ISIBarclaysCommunity Healthto Underweight while also downgrading HCA Healthcareand Universal Healthto Equal WeightBath & Body Worksto Sell at Goldman SachsJPMorganOllie's Bargain Outletto Neutral, sees Q2 miss3. AROUND THE WEB:OpenAI will publicly launch GPT-5.6, its most advanced AI model, on Thursday following a delay last month prompted by U.S. government requests over heightened national security concerns about the potential misuse of powerful AI technologies, Reuters saysMetais testing "super sensing" AI glasses that use cameras and audio to capture every moment, continuously collecting audio while taking photos every few seconds, FT saysJPMorgan Chaseis planning to target small-company deals, establishing a new team of investment bankers focused on small-cap companies valued between $100M-$500M, WSJ reportsSK Hynix's$28B ADR offering is seeing strong investor demand, with orders oversubscribing the deal ahead of pricing and allocation later in the week, Reuters saysLast week, Tate Bennett, chief of staff for USDA Secretary Brooke Rollins, spoke with grocers including Walmart, Kroger, and Albertsonsasking about their prices for beef heading into the holiday weekend, WSJ reports4. MOVERS:Prime Medicinegains after Cathie Wood's206.2K shares of the stockPenguin Solutionshigher afterand increasing its guidance for FY26Redwireincreases after appointing Paul Reichert and Niki Werkheiser asFuelCelllower after announcing aNavitasfalls after Wolfspeedfiled aagainst the company5. EARNINGS/GUIDANCE:Helen of Troyand reaffirmed its guidance for FY27Sono-Tek, with the company commenting, "Fiscal 2027 is off to a strong start"Palladyne AIHyperscale Datafor FY26Enerpac Toolsand raised its guidance for FY26INDEXES:Near midday, the Dow was down 1.53%, or 810.61, to 52,114.54, the Nasdaq was down 1.02%, or 262.53, to 25,556.16, and the S&P 500 was down 0.97%, or 73.06, to 7,430.79.