US, Iran Exchange Strikes; Trump Plans New Tariffs | Horizons Middle East & Africa 6/3/2026
Speakers
Alan Higgins
— Head of Content, Blockworks
Sara Vakhshouri
— President, SVB Energy International
Summary
The video covers escalating US-Iran military strikes and Trump's proposed 10% tariffs, with oil prices rising on fading peace hopes. SpaceX plans a record $75B IPO at $135 per share. Alan Higgins of KFH Private advocates owning the S&P 500 to capture AI gains and holding gold as a structural hedge. Sara Vakhshouri highlights the disconnect between paper and physical oil markets.
- US forces intercepted Iranian missiles and struck an Iranian command center, escalating tensions.
- Trump proposes new tariffs of at least 10% on major trading partners after a forced labor investigation.
- Oil rises for a third day as US-Iran peace deal hopes dim, with Brent at $97.
- SpaceX reportedly seeks $75 billion IPO with shares priced at $135 each.
- S&P 500 closes at a record high, driven by semiconductor stocks and AI optimism.
- Alan Higgins recommends owning the S&P 500 index for AI exposure and gold as a structural portfolio hedge.
- Sara Vakhshouri notes that physical oil prices significantly exceed paper futures due to supply tightness.
- Geopolitical developments in Lebanon and the Strait of Hormuz remain key risks for energy markets.
Trade Ideas
Own S&P 500 for AI winners.
The S&P 500 index is the best way to capture the AI rally because the index includes the AI winners. Valuations are supported by a profit boom, and tactical indicators like sentiment and put option demand do not yet signal a reason to cut risk. The market is concentrated in AI stocks, but historically this broadens out, making the index the winner.
Gold underowned, buy for hedge.
Gold is structurally underowned by family offices and sovereign wealth funds, and central bank buying provides support. It is preferred over interest rate risk as a portfolio hedge. While tactical timing is difficult, maintaining a structural long position is advised given the underallocation and ongoing geopolitical uncertainty.
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This Bloomberg Markets video, published June 03, 2026, features Alan Higgins discussing SPY, GLD. 2 trade ideas extracted by AI with direction and confidence scoring.
Speakers: Alan Higgins · Tickers: SPY, GLD