Walter BloombergMarkets

S&P 500 RALLY LIMITED WITHOUT HORMUZ REOPENING: BARCLAYS Barclays says global equities are hitting record highs on hopes of a U.S.–Iran dea…

S&P 500 RALLY LIMITED WITHOUT HORMUZ REOPENING: BARCLAYS Barclays says global equities are hitting record highs on hopes of a U.S.–Iran deal, but warns the rally lacks breadth and depends on key risks easing. • Semiconductor stocks are seen as “stretched,” limiting upside • Further gains require progress on reopening the Strait of Hormuz • Markets are also supported by liquidity, strong AI-led earnings, and FOMO The bank notes the energy shock has so far been absorbed via inventory drawdowns, but warns these buffers are fading and demand risk is rising. Barclays says a peace deal could boost European stocks, but its strategic preference remains the U.S., Japan, and emerging markets.
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