Stocks Surge Ahead of Trump Iran Remarks | Closing Bell
Speakers
Summary
- Equity markets rallied with the S&P 500 up ~0.7%, Nasdaq up ~1.2%, and Dow up ~0.5%, though off session highs; small caps mirrored the S&P's trajectory.
- Oil prices converged with WTI near $100 and Brent at ~$101, both down ~2%, raising questions about sustained high levels potentially weighing on equities.
- Sector performance diverged: energy fell nearly 4%, while communications services, industrials, materials, and information technology each gained over 1%.
- AI-driven data demand cited as a robust, durable tailwind for the HDD market, benefiting stocks like Western Digital (+10%), Seagate (+8%), and Micron (+9%).
- Intel surged ~9% after agreeing to a $14.2B plant buyback, seen as reflecting confidence in its turnaround and role in AI infrastructure spending.
- Target Hospitality soared ~36% on a multi-year $550M contract to provide facility and hospitality services for a hyperscaler's data center in North Texas, highlighting an indirect AI data center play.
- Nike plummeted ~15% after forecasting a 2-4% revenue decline for the current quarter due to inventory headwinds and regional weaknesses, with shares at decade lows.
- RH (Restoration Hardware) fell ~19% on a revenue forecast miss, pressured by execution issues, supply chain disruptions, and weaker European demand, lagging peers.
- Lamb Weston Holdings declined to lowest levels since 2017 on a weaker-than-expected forecast, affected by demand environment for frozen potato products.
- Bond market was quiet with Treasury yields largely unchanged, contrasting with equity market volatility.
- Market attention remains on geopolitical uncertainty, specifically upcoming remarks from President Trump on Iran, which could impact oil and risk sentiment.
Trade Ideas
Evercore ISI note cited stating AI-driven data demand remains fundamentally robust, providing a durable tailwind for the HDD market. This structural demand from AI training to inference transition benefits hard disk drive manufacturers like Western Digital and Seagate Technology. LONG due to exposure to a sustained fundamental tailwind from AI data growth. Slowdown in AI demand or technological shifts away from HDDs.
Intel agreed to a $14.2B plant buyback, expected to add to EPS and financed with cash and debt, with D.A. Davidson noting it bodes well for the turnaround story. The move reflects growing confidence in Intel's business and its potential role in AI infrastructure spending, suggesting a positive outlook. LONG due to reinforced turnaround narrative and alignment with AI spending boom. Turnaround execution risks or increased debt burden.
Nike forecasts revenue decline of 2-4% for the current quarter, citing elevated inventories, weakness in Greater China, and a turnaround taking longer than expected. Ongoing challenges and share price at decade lows indicate persistent headwinds and low morale, making near-term recovery unlikely. AVOID due to poor fundamental outlook and extended turnaround timeline. Successful inventory management or demand rebound in key regions.
RH forecast revenue for Q1 missed analyst estimates, pressured by execution, supply chain disruptions, and weaker European consumer demand. The company lags peers in home furnishings and reflects a deteriorating demand environment, with shares at COVID-pandemic lows. AVOID due to competitive underperformance and external headwinds impacting growth. Improvement in European demand or supply chain normalization.
Lamb Weston Holdings' full-year forecast implied a weaker-than-expected Q4 performance, with shares falling to lowest levels since 2017. The forecast suggests ongoing demand challenges in the frozen potato market, impacting financial performance. AVOID due to weak outlook and price decline indicating fundamental pressure. Recovery in demand or cost efficiencies.
Up Next
This Bloomberg Markets video, published April 01, 2026, features Katie Greifeld, Tim Stenovec discussing WDC, STX, INTC, NKE, RH, LW. 5 trade ideas extracted by AI with direction and confidence scoring.
Speakers: Katie Greifeld, Tim Stenovec · Tickers: WDC, STX, INTC, NKE, RH, LW