Panic! At the Hormuz Strait; Nvidia, More Investor Than Chip Maker; Apple’s March Lineup and Gold’s Resurgence

The world’s most important oil chokepoint isn’t technically closed but Iran’s threats in the Strait of Hormuz are already shaking shipping, energy markets, and global risk sentiment. At the same time, Nvidia is pouring $4 billion into photonics suppliers to keep AI chips moving faster, while Apple just unveiled the iPhone 17e with its new A19 chip and upgraded modem. And as geopolitical tensions escalate, investors are sprinting to safety pushing gold past $5,400 an ounce while central banks now hold more gold than U.S. Treasuries. Markets, chips, smartphones and safe-havens all moving at once. All this and more in today’s Read It and Eat!

Markets Around The World

Markets as of 2nd March 2026. Cells in RED mean that the value is down, cells in Green mean the value is up.

MAJOR HEADLINES

• Strait of Hormuz: Not Closed But the Threat Alone Is Moving Markets

The Strait of Hormuz, the narrow waterway linking the Persian Gulf to global shipping routes, has not officially been closed but the tension surrounding it is already rattling global trade. Iranian broadcasts reportedly warned vessels over maritime radio that the strait was closed and that ships would not be allowed to pass, statements that quickly triggered global headlines suggesting shipping had stopped. In reality, commercial traffic has largely continued, though under heightened alert and security monitoring.

The alarm comes amid escalating hostilities following U.S. and Israeli strikes on Iran beginning 28 February, which Iran has vowed to retaliate against. Statements from Iranian officials including a senior adviser to the Islamic Revolutionary Guard Corps (IRGC) have reinforced threats against shipping in the region. Even without a physical blockade, these warnings can have immediate consequences: insurers raise premiums, tankers delay routes, and energy traders quickly price in potential supply disruptions.

The reason markets react so strongly is simple: roughly 20% of the world’s oil supply moves through the Strait of Hormuz every day. A closure or even credible threats of disruption can instantly tighten global energy supply expectations. That’s why oil prices, shipping risk premiums, and broader market volatility often surge whenever tensions escalate in this corridor. In global energy terms, Hormuz is less a shipping lane than a pressure valve for the entire oil market. Sea trade maritime news

• Nvidia: The Investor, Deploys $4bn in Semiconductor Technology

Nvidia is investing $4 billion across two key suppliers in a move designed to strengthen the infrastructure behind the global AI boom. The chip giant will invest $2 billion each into optical technology companies Lumentum and Coherent, deepening its role not just as the dominant AI chip designer but also as a strategic investor across the semiconductor ecosystem that supports high-performance computing and artificial intelligence workloads.

Under the terms of the agreements, Nvidia will purchase convertible preferred shares worth $2 billion in each company. Lumentum specializes in optical networking and photonic components used to move massive volumes of data across data centers, while Coherent is a leader in advanced photonics, lasers, and optical materials that enable high-speed signal transmission in computing and telecom systems. Together, their technologies form critical pieces of the infrastructure that allows thousands of GPUs to communicate efficiently inside modern AI data centers.

The investment highlights a rapidly emerging bottleneck in the AI boom: data movement, not just processing power. As AI models grow larger and more complex, the speed at which data can move between GPUs inside massive clusters becomes just as important as the chips themselves. Optical interconnect technologies allow data to travel using light rather than electrical signals, dramatically increasing bandwidth and lowering energy consumption. By backing companies building these technologies, Nvidia is effectively reinforcing its control over the broader AI compute stack ensuring the networks connecting its GPUs evolve as quickly as the chips themselves. Reuters

• Apple Releases New iPad and Budget Phone; With More to Come During the Week 

Value without skimping on headline specs: it ships with Apple’s new A19 chip for noticeably faster app performance, and the new C1X modem that Apple says is up to 2× faster than the previous modem in the 16e. Imaging gets a big lift with a 48MP Fusion sensor and 4K Dolby Vision capture plus an optical-quality 2× telephoto that acts like having a second lens. The 6.1-inch Super Retina XDR display gets tougher with Ceramic Shield 2 (Apple claims ~3× better scratch resistance), MagSafe compatibility stays, and Apple’s satellite suite (Emergency SOS, Roadside Assistance, Messages, Find My) expands a pragmatic, productized upgrade aimed at buyers who want near-flagship hardware at a lower entry price.

The new iPad Air lands with Apple’s M4 silicon and a clear pro-leaning pitch. The updated iPad Air steps up to the M4 family, delivering higher CPU/GPU throughput and improved neural-engine performance that materially helps creative apps, multitasking, and on-device AI features the sort of generational jump that narrows the gap with the iPad Pro for many users. Expect faster compile times, smoother video edits, and better handling of pro workflows (graphics, AR, and AI-assisted tooling) while retaining the Air’s lighter chassis and long battery life. In short: Apple has pushed pro-level compute into a thinner, lower-cost chassis, making the Air a much more compelling device for power users who don’t need every Pro frill.

What to expect for the rest of the week. Engadget’s event preview flagged more than just phones and tablets: look for follow-ups around Mac and accessory lines, software refinements, and product availability/pricing details to roll out across the week. That means MacBook or Mac mini refresh talk, more color and configuration options, regional pricing and carrier offers for the 17e, and staged rollouts for the M4 iPad Air and related Apple Pencil / keyboard bundles. Bottom line: Apple’s event started with two headline devices the rest of the week will be about filling in the specs, pricing, and launch windows that determine whether these refreshes become mainstream winners or incremental stopgaps. Engadget

• Gold’s Resurgence; Dragging Silver Up With It

Gold prices surged to around $5,400 per ounce, reaching new highs as investors poured into the precious metal amid escalating geopolitical tensions in the Middle East. When global conflicts intensify, investors typically move money out of riskier assets such as equities and into traditional safe-haven assets, and gold has historically been one of the most reliable stores of value during periods of uncertainty.

The rally also reflects a deeper structural trend in global finance: central banks have been aggressively accumulating gold in recent years. For the first time in modern financial history, central banks collectively hold more gold than U.S. Treasury securities in their reserves. This shift reflects growing concerns among many governments about currency volatility, geopolitical risk, and dependence on the U.S. dollar-based financial system.

As a result, gold’s rise is no longer driven only by short-term crises but by long-term strategic demand from central banks around the world. With tensions rising in key geopolitical flashpoints and investors hedging against inflation, currency risk, and market volatility, gold’s latest surge underscores a broader trend: in uncertain times, the oldest financial asset still commands the most trust. Yahoo Finance

Minor Headlines

• Berkshire Stock Falls 5% as Earnings, Abel Letter Fail to Excite Investors Barrons 

• India most vulnerable to prolonged disruptions to Mideast oil, analysts say Reuters

• Amazon's cloud unit reports fire after objects hit UAE data center Reuters

• Defense stocks jump as U.S., Iran exchange attacks CNBC

• Retail investors shun private credit amid Blue Owl troubles Financial Times

• Citadel's flagship fund rose 1.9% in February CNBC

• SCOTUS declined to hear copyrights lawsuit over AI-generated material Reuters

• Trump vows 'whatever it takes' on Iran as conflict widens Yahoo Finance