Last Week: VIX surged 25% to its highest since early August. WTI topped $102, and Brent hit $107 Thursday, the highest since May, after the Houthis launched a campaign for the Bab el-Mandeb strait, and Friday's CPI ran hot with core at 0.3% versus 0.2% expected, sending September hike odds to 86%. Oracle was the bright spot, jumping on a 62% cloud growth quarter with over $30 billion in new AI contracts, while Adobe fell on weak guidance and Kroger gained 4% on a beat.
Over the Weekend: An Iranian commercial vessel was struck in Hormuz late Saturday, killing one, as Iran and Gulf states prepare to sign an Iran-Oman shipping route agreement Monday in Muscat. A senior Iranian official said no negotiations with the U.S. are underway, though Trump insists Tehran wants a deal, and the Houthis kept advancing toward Bab el-Mandeb with Saudi exchanges continuing.
The Week Ahead: Fed week. Wednesday's rate decision at 2 pm is the main event, with hike odds near 86% after hot CPI and PPI, and it comes with fresh economic projections and a press conference, so the dots and Warsh's tone matter as much as the move itself. August Retail Sales (0.8% forecast) hits Wednesday morning, with Philly Fed and jobless claims Thursday. Earnings are nearly silent, with Lennar Wednesday after close as a housing read and Trip.com Tuesday night, plus Friday's quad witching expiration adding volume. A hike into $100 oil and a wobbling AI trade is the test, so let Wednesday set the tone before pressing either direction.
















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