The ripple effects of the Iran war continue to grow. Rising oil prices continued to weigh on stock prices last week, with the Dow and Nasdaq falling more than 10% from their all-time highs into correction territory. The Dow and Nasdaq fell nearly 1.7% and 2.2%, respectively, on Friday and remained at about 1% and 3.2%, respectively, for the week. The Dow Jones Industrial Average is down 10% from its most recent closing high, and the Nasdaq is down about 13%. The S&P 500 fell 1.7% on Friday and is down 2.1% for the week. The S&P 500 index is down 8.7% from its all-time high, just barely on the right side of correction threshold. The war wasn’t the only thing that sent stocks crashing on Friday, exacerbating a fifth straight week of market weakness. News that Anthropic is testing its powerful new artificial intelligence model has subdued enterprise software stocks, including cybersecurity stocks that should never be lumped together with other stocks. Social media stocks also slumped after two court decisions in child safety cases went against the meta platform. Here are three themes that led to another difficult week on Wall Street. Oil prices soar due to war Iran and the United States have exchanged proposals to end hostilities. Neither side was very enthusiastic. President Donald Trump has again extended the deadline for Iran to open the Strait of Hormuz oil route or face bombing of its power plants. The new date is April 6th. Jim Cramer said it will be difficult for stocks to recover while the Strait remains closed and oil prices are high due to supply constraints. West Texas Intermediate crude oil rose 5.5% to $99.64 per barrel on Friday, its highest clearing price since July 2022. Brent International Crude rose 4.2% to $112.57, also its highest liquidation price since July 2022. WTI and Brent rose more than 1.3% and 0.3%, respectively, for the week, and rose 48.7% and 55.3%, respectively, for the week. The war started four weeks ago. The national average for regular unleaded gasoline is just under $4 per gallon, up $1 per gallon in one month, according to AAA. We looked at two bright spots in Costco’s rising gas prices. The new stand-alone gas station experiment is designed to increase pump utilization, draw more shoppers to stores, and help retailers drive membership growth. Costco stock rose 1.2% last week. “Anthropic the Impaler” At the Investment Club’s March monthly meeting on Friday, Jim referred to Anthropic as “Anthropic the Impaler.” Because every time there is a development related to an AI startup, a software stock gets crushed. Friday’s Anthropic headline gave CrowdStrike an additional 6% discount, as did Palo Alto Networks. Both stocks fell more than 9% for the week. The market is concerned that Anthropic and other AI tools will replace enterprise software companies. However, AI cannot replace the highest standards of cybersecurity. CrowdStrike CEO George Kurtz explained why on Thursday night’s “Mad Money.” Kurtz said all companies implementing AI need independent safeguards for compliance and enforcement. “This is like a dentist trying to perform brain surgery,” Jim said at Friday’s conference. When CrowdStrike came under pressure on Tuesday regarding Databricks’ entry into the security market, we bought its weakness. Jim said he still likes Palo Alto, but doesn’t need two cybersecurity stocks in his portfolio and prefers CrowdStrike. Meta Platforms, which is neither tobacco nor asbestos, was the worst performer last week, dropping nearly 11.5% after losing one social media addiction lawsuit in California and one in New Mexico. Jim wants to elevate us as much as possible. “Has Meta lost several lawsuits related to painful addiction to its products? Yes. But is this hidden asbestos? I believe Meta has the law and facts on its side and will defend it vigorously,” he said at Friday’s meeting. He also slammed comparisons to cigarettes. Jim did say that the meth lawsuit reminded him of the talc lawsuit against Johnson & Johnson. “With something like J&J, the highest amount for a plaintiff was $140, but it quickly drops to $240,” Jim said. He laments that he was kicked out of J&J because of talc, and says he doesn’t want to give in to meth. Jim said he’s not thrilled that Meta CEO Mark Zuckerberg is spending so much money on AI. But he concluded, “Whenever I doubted him, I was wrong.” (Jim Cramer’s charitable trusts are Long COST, PANW, and META. See here for a complete list of stocks.) As a subscriber to Jim Cramer’s CNBC Investment Club, you will receive trade alerts before Jim makes a trade. After Jim sends a trade alert, he waits 45 minutes before buying or selling stocks in his charitable trust’s portfolio. If Jim talks about a stock on CNBC TV, he will issue a trade alert and then wait 72 hours before executing the trade. 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