Name: Iran War: US Strikes Targets Near Hormuz With No Deal in Sight | The Opening Trade 5/28/2026
Uploaded: 2026-05-28T10:01:41+00:00
Duration: 5773 s

Speakers

Aneeka Gupta — Reporter, Financial Times

Amy Gower — Metals & Mining Commodities Strategist, Morgan Stanley

Skyler Montgomery Koning — Macro Strategist

Henry Allen — Macro Strategist, Deutsche Bank Research

Neil Campling — Tech/TMT Analyst

Summary

Stocks fell and oil climbed after US airstrikes on Iran near the Strait of Hormuz. Guests discussed a buying opportunity in European defense, structural tightness in aluminium, and the path for higher oil prices. The software sector diverged with Snowflake surging while Salesforce disappointed, highlighting the AI disruption theme. Hawkish Fed commentary and upcoming PCE data added to inflation concerns.

US airstrikes on Iranian military site near Hormuz escalate tensions, risk-off across global equities.
Brent crude jumps 3% to $97 amid doubts over ceasefire durability.
European defense sector seen as a long-term opportunity after pullback, driven by NATO spending hikes.
Aluminium supply tightens as Gulf smelters damaged and China may restrict output, supporting higher prices.
Snowflake shares soar over 35% on strong outlook and AWS deal; Salesforce disappoints on AI product traction.
Fed officials (Cook, Goolsbee, Jefferson) flag upside inflation risks; PCE expected at 3.8%.
US oil rig count remains low, suggesting physical tightening and higher oil prices ahead.
Central banks globally leaning hawkish; Bank of Korea holds and signals potential hike.

Trade Ideas

Aneeka Gupta Reporter, Financial Times 20:48

European defense is a buying opportunity.

European defense sector has a long-term structural thesis intact due to NATO spending targets rising to 5% of GDP, Germany's €144 billion defense spending, US troop withdrawals, and the need for European self-sufficiency. The recent pullback presents an opportunity as valuations have corrected from around 40x P/E to approximately 30x while earnings per share are growing, supported by rising book-to-bill ratios.

Amy Gower Metals & Mining Commodities Strategist, Morgan Stanley 27:53

Aluminium prices likely to rise further.

Aluminium market faces structural supply tightening because Gulf smelters are damaged with 12-month restart timelines (accounting for ~4-5% of global production lost), and China may clamp down on overproduction, which could push prices higher. The steep backwardation and destocking cycle cannot last forever, and if China also restricts supply, the market will feel the tightness.

Skyler Montgomery Koning Macro Strategist 94:37

Oil prices headed higher.

Oil prices have a path of least resistance higher due to physical market tightening as US oil rig count remains low (around 425 vs. ~500 expected at these price levels) and supply shocks take time to feed through. Reserves are being run down and the spot price will be forced to roll up, meaning higher oil prices ahead.

This Bloomberg Markets video, published May 28, 2026, features Aneeka Gupta, Amy Gower, Skyler Montgomery Koning discussing European Defense, Aluminium, BNO. 3 trade ideas extracted by AI with direction and confidence scoring.

Speakers: Aneeka Gupta, Amy Gower, Skyler Montgomery Koning · Tickers: European Defense, Aluminium, BNO

Iran War: US Strikes Targets Near Hormuz With No Deal in Sight | The Opening Trade 5/28/2026

Summary

Trade Ideas

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