Stocks Mixed as Oil, Iran Tensions Overshadow Chip Rally

Rising oil prices are overshadowing Nvidia (NVDA) chip buzz, with West Texas Intermediate (WTI) crude last seen up 7.7% at $94.12 amid heightened Middle East tensions. Iran has reportedly suspended peace talks with the U.S., while Tehran said it's completely shutting the Strait of Hormuz due to Israel's attacks on Lebanon. The Dow Jones Industrial Average (DJI) has reverse its early morning gains to drop triple digits, while the S&P 500 Index (SPX) and Nasdaq Composite Index (IXIC) sit modestly higher. 

Continue reading for more on today's market, including:

• Options traders target MSFT after Nvidia chip reveal. 
• IBM extends surge after best week since 2001. 
• Plus, HPQ and SPCE draw trader attention; Grail stock slips after trial results. 

Call traders are targeting HP Inc (NYSE:HPQ) today, as Nvidia's new processor chip news gives the stock a boost. So far, 123,000 calls have crossed the tape compared to just 9,189 puts, with overall volume running at seven times the average daily amount. The June 35 call is the most popular by far, with new positions being sold to open there. At last glance, HPQ was up 8.4% at $29.32, nearing its September and October highs. Year to date, the equity is up 31.2%.

Fresh off its best month ever, Virgin Galactic Holdings Inc (NYSE:SPCE) is up 24.3% to trade at $7.68 today. The space stock has enjoyed tailwinds from excitement surrounding SpaceX's highly anticipated initial public offering (IPO) in June, while a new SEC filing revealed investor Rich Huang and RichRich Capital built a 5.26% stake in SPCE, drawing plenty of retail trader attention. Year to date, the equity is up 124%. 

One of the worst performers this afternoon, Grail Inc (NASDAQ:GRAL) was last seen down 19.4% at $57.78, after the biotech name's Galleri blood test missed its primary endpoint goal, though it showed it can cut stage 4 diagnoses. The stock was trading as high as $118 before its late-February bear gap, down 31.9% year to date.