Investor sentiment thrived in April even in the wake of an erratic geopolitical backdrop that has stoked fears of stagflation. Markets were whipsawed as investors digested a plethora of headlines around the Middle East conflict that has reshaped the outlook for energy prices, inflation, and growth. However, optimism around the artificial intelligence (AI) trade and a wave of upbeat earnings results in the megacap tech space drove stock markets to record highs. Still, the prolonged closure of the Strait of Hormuz has upended global energy flows and ushered in an energy crisis that has stoked fears about demand destruction and a hit to global growth.