Key Takeaways
- Crude oil futures surged as the market braced for a Tuesday 8:00 PM ET deadline set by President Trump for Iran to reopen the Strait of Hormuz.
- Major U.S. stock indices closed higher on Monday, with the Nasdaq leading gains at 0.49% despite escalating rhetoric between Washington and Tehran.
- Nvidia-backed Firmus reached a $5.5 billion valuation, signaling sustained investor appetite for AI infrastructure and renewable-powered data centers.
- Commerce Secretary Howard Lutnick is scheduled to testify before a House Committee on May 6, facing questions regarding both the department's budget and personal past associations.
Geopolitical Tensions Drive Oil Volatility
Energy markets remained on high alert Monday as President Trump reiterated his ultimatum to the Iranian government. The President has threatened to target Iranian power plants and bridges—an operation he dubbed "Power Plant Day and Bridge Day"—if the Strait of Hormuz is not reopened to tanker traffic by tomorrow evening.
In response, Iran's top joint military command dismissed the threats, stating that military action would not compensate for what they described as U.S. "humiliation and disgrace" in the region. Crude futures edged higher on the news, with Brent crude trading near $110 per barrel and West Texas Intermediate (WTI) rising to $112.53 as traders priced in the risk of supply disruptions.
Wall Street Gains Despite Global Uncertainty
U.S. equities managed to finish the session in positive territory, shaking off the immediate "hopium" surrounding a potential 45-day ceasefire proposal mediated by Pakistan. The Nasdaq (.IXIC) unofficially closed up 107.35 points, or 0.49%, to finish at 21,986.53.
The S&P 500 (.SPX) rose 26.71 points (0.41%) to 6,609.40, while the Dow Jones Industrial Average (.DJI) added 153.97 points (0.33%) to close at 46,658.64. Analysts noted that while tech stocks provided a cushion for the broader market, volatility remains elevated as the Tuesday night deadline approaches.
AI Infrastructure Boom: Firmus Hits $5.5 Billion
In corporate news, Firmus Technologies, a data center developer backed by Nvidia (NVDA), has seen its valuation climb to $5.5 billion. The company is currently deploying a massive fleet of renewable energy-powered AI data centers, utilizing Nvidia’s GB300 GPUs to meet the global demand for high-performance computing.
The valuation milestone comes as Firmus prepares for a potential initial public offering (IPO) later this year. The company’s focus on liquid cooling technology and sustainable energy has made it a standout in the "picks and shovels" phase of the AI expansion, attracting significant interest from private equity and sovereign wealth funds.
Lutnick Set for Congressional Scrutiny
U.S. Commerce Secretary Howard Lutnick is slated to appear before a House Committee on May 6, according to reports from CNN. The testimony is expected to cover the Department of Commerce’s 2026 budget and the administration's aggressive trade and tariff policies.
However, the hearing may also address recent controversies surrounding Lutnick’s past. The Secretary has recently faced scrutiny over acknowledged meetings with Jeffrey Epstein following the financier's 2008 conviction, a development that has led to speculation regarding his standing within the current cabinet.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.