Volkswacht Bodensee - Tanker attacks send oil higher, stocks hit by AI jitters

British maritime security agency UKMTO reported three tankers have been hit by projectiles or drones in the past 24 hours in or near one of the world's most important energy shipping routes, despite a ceasefire between the United States and Iran and efforts to secure a lasting peace agreement.

"Crude oil rose by more than two percent after renewed attacks on commercial shipping in the Strait of Hormuz reignited concerns over global energy supplies and cast doubt on the durability of the US-Iran agreement," said Axel Rudolph, chief technical analyst at investing and trading platform IG.

Meanwhile investors once again turned cold on AI stocks.

The tech-rich Nasdaq Composite shed more than one percent in late morning trading oin New York.

The blue-chip Dow climbed at the start of trading, striking a fresh all-time high, but slumped into the red.

In Europe, Frankfurt and Paris ended lower.

Seoul once again led losses in Asian stocks as Samsung's share price tumbled -- despite the South Korean chip giant's eye-watering rise in profit -- on fears that the record-breaking AI-fuelled rally may have reached the end of the road.

The "ugly reaction to exceptional Samsung earning is a reminder that, in richly valued markets, meeting expectations is no longer enough", noted Ipek Ozkardeskaya, senior analyst at Swissquote bank.

Samsung said it expected to post a jump in second-quarter operating profit of more than 1,800 percent thanks to sustained demand for memory chips seen as essential to help power the world's thirst for AI.

However, the company's shares tumbled by as much as 10 percent at one point before ending with a loss of more than six percent.

Seoul's Kospi index finished down nearly five percent.

Samsung's update came at the start of a much-anticipated earnings season that will be closely followed for an idea about firms' outlooks for AI in light of huge sector investment.

"Strong earnings are no longer enough," wrote Saxo Markets' Charu Chanana.

"For AI-linked stocks, the market now wants strong earnings, strong guidance and clear evidence that pricing power can last."

She added: "Investors are not paying for what has already happened. They are paying for what happens next."

There were losses also for the tech-heavy Tokyo stock market as well as Hong Kong, Shanghai, Sydney, Taipei and Bangkok

SpaceX shares fell more than five percent in New York morning trading.

"Investors are wondering if SpaceX can improve the mood as it enters the Nasdaq 100 later today," said David Morrison at Trade Nation ahead of the New York market opening.

Its entry will force many passive investment funds that track the index to purchase large volumes of stock in the rocket and satellite communications firm, with only a limited volume currently trading.

Traders were meanwhile awaiting the release of minutes from the Federal Reserve's most recent policy meeting, hoping for fresh clues about its plans for potential US interest-rate rises as it tries to battle elevated inflation.

- Key figures around 1530 GMT -

New York - Dow: DOWN 0.4 percent at 52,832.67 points

New York - S&P 500: DOWN 0.7 percent at 7,488.10

New York - Nasdaq Composite: DOWN 1.4 percent at 25,761.26

London - FTSE 100: UP 0.1 percent at 10,665.88 (close)

Paris - CAC 40: DOWN 0.5 percent at 8,436.24 (close)

Frankfurt - DAX: DOWN 1.4 percent at 25,465.25 (close)

Seoul - Kospi: DOWN 4.9 percent at 7,656.31 (close)

Tokyo - Nikkei 225: DOWN 2.1 percent at 68,256.96 (close)

Hong Kong - Hang Seng Index: DOWN 0.5 percent at 23,496.89 (close)

Shanghai - Composite: DOWN 1.3 percent at 3,990.24 (close)

Brent North Sea Crude: UP 1. percent at $72. a barrel

West Texas Intermediate: UP 1. percent at $69. a barrel

Euro/dollar: DOWN at $1.1429 from $1.1442

Pound/dollar: DOWN at $1.3375 from $1.3392

Dollar/yen: DOWN at 161.90 yen from 162.04 yen on Monday

Euro/pound: UNCHANGED at 85.43 pence

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P.Vogel--VB