White House & Policy - March 08, 2026 (Morning)

 ## Policy Overview The administration overnight has maintained a firm stance on the escalating conflict in the Middle East, particularly concerning Iran. While no new executive orders were issued, the White House reiterated its commitment to monitoring the situation closely and supporting allies in the region. The president emphasized the need for a measured response and underscored ongoing diplomatic efforts to de-escalate tensions. There is a clear focus on energy security given the disruptions in oil supply caused by the conflict. No new legislative developments have been announced, but the president has signaled that no further legislation will be signed until the voter act bill passes Congress. This stance introduces some political uncertainty that could weigh on market sentiment. Today, congressional hearings are scheduled to discuss the implications of the Iran conflict on U.S. foreign policy and energy markets. The president is expected to deliver remarks later in the day addressing national security and economic resilience. ## Market Impact Pre-market futures are reflecting heightened risk aversion amid geopolitical uncertainty. The S&P 500 futures are down, consistent with the prior session’s 1.31% drop in the index. Technology and financial sectors are under pressure, with the Nasdaq 100 futures down 1.66%. Energy futures, however, are showing strength, with oil prices surging 12.94% overnight due to supply concerns stemming from the Iran conflict and Iraq’s oil output plunging by about 60%. The U.S. dollar is slightly weaker, with the UUP ETF down 0.04%, suggesting some risk-off positioning but limited safe-haven demand. Long-term Treasury prices are down modestly, reflecting a slight rise in yields as investors weigh inflation risks against geopolitical uncertainty. Gold is up 1.58%, indicating some flight to traditional safe assets amid market volatility. ## Winners & Losers ### Potential Winners **$XOM** - Higher oil prices due to Middle East supply disruptions boost revenues and margins for major integrated oil producers. **$CVX** - Similar to ExxonMobil, benefits from energy market tightness and rising commodity prices. **$BA** - Defense contractor gains as geopolitical tensions increase demand for military equipment and services. **$RTX** - Raytheon benefits from increased defense spending and heightened focus on national security. **$NOC** - Northrop Grumman poised to gain from potential increases in defense contracts amid regional instability. **$GD** - General Dynamics stands to benefit from defense sector tailwinds linked to conflict escalation. ### Potential Losers **$AAPL** - Technology sector weakness due to risk-off sentiment and supply chain concerns amid geopolitical tensions. **$INTC** - Semiconductor stocks hit hard by broader tech selloff and concerns over export restrictions. **$META** - Social media and tech companies face pressure from market volatility and regulatory uncertainty. **$COF** - Financials underperform as credit risk and economic uncertainty rise. **$JPM** - Banking sector weighed down by risk aversion and potential regulatory scrutiny. **$CAT** - Industrials suffer from global economic concerns and potential delays in infrastructure spending. ## Sector Exposure - **Energy:** The conflict in the Middle East is driving oil prices sharply higher, benefiting integrated oil companies but raising input costs for other sectors. Pipeline approvals and drilling permits remain under scrutiny as the administration balances energy security with environmental concerns. - **Defense:** Heightened geopolitical tensions are boosting defense contractors, with expectations of increased government spending on military hardware and intelligence capabilities. Companies like **$BA**, **$RTX**, and **$NOC** are in focus. - **Technology:** The tech sector is facing headwinds from risk-off sentiment and ongoing regulatory scrutiny, including concerns about AI regulation and export controls on semiconductors. This is reflected in weakness across major tech names and ETFs. - **Financials:** Banks and financial services are experiencing pressure due to increased market volatility and uncertainty around legislative priorities, including the administration’s stance on the voter act bill. ## What to Watch Today - Congressional hearings on the Iran conflict’s impact on U.S. foreign policy and energy security. - The president’s scheduled remarks on national security and economic resilience, which could influence market sentiment. - Existing Home Sales data release at 2:00 PM, with forecasts slightly down, potentially impacting financials and real estate sectors. - Monitoring oil price movements and related energy sector reactions amid ongoing Middle East tensions. - Watch key levels for defense stocks **$BA** (up 3.75%), **$RTX** (+4.36%), and tech stocks like **$AAPL** (down 1.26%) and **$INTC** (-5.68%) for intraday volatility.