GoAI Market Wrap - 5th Mar

Stock Market

On Wednesday, the three major U.S. stock indices closed higher, led by a rally in technology stocks. Reports suggesting that Iran had signaled a willingness to negotiate, combined with President Trump’s pledge to stabilize the oil market, partially alleviated investor concerns regarding the Middle East conflict.

Capital flowed back into the technology sector, pushing the Nasdaq higher and recovering all losses sustained since the joint U.S.-Israeli strikes sparked the conflict. The S&P 500 neared its all-time record closing high set in January. Earlier reports claimed that Iranian intelligence officials indirectly reached out to the CIA a day after the strikes, which tempered anxieties. Although Iran later denied the report—labeling it "psychological warfare" and a lie—the news failed to derail market momentum.

Furthermore, Trump’s announcement that the U.S. Navy would escort tankers through the Strait of Hormuz and the introduction of political risk insurance provided significant relief. Jim Awad, Senior Managing Director at Clearstead Advisors, noted that the White House's stance lowered the perceived risk of major supply disruptions, encouraging investors to buy into tech stocks that had faced sharp sell-offs in February and offered more attractive valuations. "This combination has brought a level of optimism, though the coming weeks will remain a test," Awad remarked.

Sentiment was also bolstered by strong economic data. The ADP report showed private-sector job growth exceeded expectations in February, while the non-manufacturing sector grew better than anticipated with easing inflationary pressures. Richard Bernstein, CEO of Richard Bernstein Advisors, warned that war-induced inflation remains a primary risk for future volatility. "If the market believes the war is short-term with limited economic impact, the rally may continue; otherwise, volatility could intensify," he said.

Currently, several Middle Eastern nations have temporarily suspended portions of their oil and gas production, while the U.S. is considering expanding military operations within Iran. Oil prices saw their surge lose momentum, with Brent crude futures settling at $81.40 per barrel on Wednesday, flat compared to Tuesday and its highest level since January 2025.

Global Markets

Iran Launches 18th Round of Strikes on U.S. and Israel

The IRGC announced late March 4 that the 18th round of "Operation True Promise 4" had commenced, with Iranian missiles and drones once again targeting Israel.

White House: U.S. Forces Have Struck Over 2,000 Iranian Targets; No Plans for Ground Troops

White House Press Secretary Karoline Leavitt stated on March 4 that the primary goals of "Operation Epic Fury" include: destroying Iran’s ballistic missiles and production systems, striking naval forces, weakening regional proxies, and ensuring Iran does not obtain nuclear weapons.

She reported that over 2,000 targets have been struck, destroying numerous missiles, launchers, and drones, and sinking more than 20 Iranian vessels, including one submarine.

Putin Considers Proactively Cutting Gas Supplies to Europe

Russian President Vladimir Putin stated on March 4 that current oil and gas price hikes are due to restrictions on Russian energy and U.S.-Israeli aggression against Iran. Noting the EU's plan to ban all Russian pipeline and LNG imports, Putin remarked that Russia might as well proactively "cut the gas" and shift supplies toward emerging markets.

Corporate News

Jensen Huang: $30 Billion Investment in OpenAI 'Likely the Last'

NVIDIA CEO Jensen Huang stated that the company's recent $30 billion investment in OpenAI will likely be its last before the startup's IPO, which he expects by year-end.

At a Morgan Stanley conference on Wednesday, Huang claimed a previously disclosed $100 billion infrastructure deal "may not materialize" due to the impending listing. He also noted that NVIDIA's $10 billion investment in competitor Anthropic is also likely its last.

Broadcom Q1 Adjusted Net Revenue at $19.31 Billion; Plans Up to $10 Billion Buyback

Broadcom reported Q1 adjusted net revenue of $19.31 billion, slightly beating the $19.26 billion analyst estimate.

The company plans a new share buyback program of up to $10 billion and forecasts Q2 revenue of approximately $22 billion, well above the $20.53 billion expected by analysts.

Forex & Commodities

International oil prices trended higher on March 4.

By the close of trading, WTI crude oil futures for the front-month contract on the New York Mercantile Exchange rose by $1.55, or 2.08%, to settle at $76.11 per barrel. COMEX gold futures for the front-month contract advanced by $27.90, or 0.54%, to end the session at $5,151.60 per ounce.

COMEX silver futures for the front-month contract edged up by $0.29, or 0.35%, to close at $83.765 per ounce. Spot gold climbed $52.66, representing a 1.03% gain, to reach $5,141.31 per ounce. Meanwhile, spot silver rose by $1.48, or 1.80%, to settle at $83.54 per ounce.

Key Events

U.S. Shale Executives Warn War Supply Gap Cannot Be Quickly Filled

Industry executives warned that U.S. shale producers cannot rapidly increase output to compensate for Middle Eastern disruptions, as significant production hikes typically take months.

Former Pioneer Natural Resources CEO Scott Sheffield stated that producers would resist costly new drilling plans until they are certain the price surge is sustainable. He added that a lack of premium drilling inventory and capital expenditure cuts over the past year would further hamper expansion.

Cryptocurrency

The cryptocurrency market recorded broad-based gains over the last 24 hours, with major tokens maintaining strong upward momentum.

Bitcoin (BTC) is currently trading at $72,962.30, reflecting a 7.40% increase over the past day, while Ethereum (ETH) followed suit by rising 8.57% to reach $2,132.44.

Other leading digital assets also delivered notable performances across the board:

BNB (BNB) climbed 4.49% to settle at $658.81.
XRP (XRP) gained 5.46%, trading at $1.42.
Solana (SOL) advanced 5.55% to reach $91.21.
Dogecoin (DOGE) outperformed many of its peers with a 9.81% surge to $0.09819.
Cardano (ADA) increased by 4.70% to $0.2742.
TRON (TRX) rose 2.97%, ending the period at $0.2875.

Key Events

Ray Dalio: Bitcoin Will Never Challenge Gold’s Status as a Safe-Haven Asset

Bridgewater Associates founder Ray Dalio stated that gold remains irreplaceable in the debate against Bitcoin.

Dalio highlighted that central banks will never hold Bitcoin like gold, noting that Bitcoin trades more like a risk asset than a hedge. He argued that during times of stress, investors are likely to sell Bitcoin and double down on gold.