Oil Prices Surge, Major Discrepancies at the Fed, Bitcoin Faces Sell-off, Semiconductor Stocks Shine

On April 30, in the context of escalating tensions between the U.S. and Iran, Brent crude oil reached its highest level since June 2022, while WTI crude surged 8.2% to $108.11 per barrel. Market concerns about a prolonged stagnation in the Strait of Hormuz have rapidly narrowed global supply buffers. Additionally, Fed Chair Jerome Powell’s indication of remaining in his position, coupled with internal concerns about inflation, has led to significant discrepancies within the Federal Reserve regarding the path of interest rates. Traders now believe that the likelihood of rate hikes this year is higher than that of cuts. As a result of these developments, U.S. stocks showed mixed performance, but the Philadelphia Semiconductor Index rose by 1.8%, with NXP Semiconductors soaring 25%. Earnings reports released after hours impacted several tech giants: Meta’s stock fell due to an upward revision of capital expenditure outlook, Microsoft’s cloud business growth failed to alleviate investor concerns over AI returns, while Alphabet’s stock rose on solid sales data. Bitcoin, meanwhile, showed renewed weakness during U.S. trading hours, not only reversing gains made earlier but also briefly dipping below $75,000 in the early hours, currently quoted at $75,818.84. The Coinbase Bitcoin premium index also turned negative today, indicating a sell-off trend among U.S. investors.