US100 - Iran Tensions Spike Oil, But Investors Keep Watching Chips

The Nasdaq 100 trades around 29,607 today, pulling back slightly after Thursday's strong rally led by chip stocks. The index remains well below its June record near 30,470, even after the sharp recovery we described on July 1, when tech stocks bounced back hard following a rough end to June.

This week added a new twist. On Wednesday, President Trump said the Iran ceasefire was over, the US struck Iran again, and oil jumped more than 5%. Normally, that kind of headline would rattle stocks. On Thursday, it barely did, with the Nasdaq closing 1.3% higher.

Why did investors not react much to the Iran news? Right now, attention is split between two very different stories: a geopolitical risk that keeps flaring up without changing very much, and an AI trade that keeps pulling money in. For now, the AI story has more influence on prices.

Next week brings two real tests. Fed Chair Kevin Warsh testifies before Congress on Tuesday, the same day the US releases its CPI (Consumer Price Index) inflation report. Either one could shift the mood quickly.

US100 key levels: 

• Resistance: 29,750, then 30,150
•  Support: 29,590, then 28,700 

Watching: SK Hynix's first trading day, Fed Chair Warsh's testimony Tuesday, Tuesday's CPI report.

By Born2trade market research department

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