SpaceX vaults past Amazon's market value, options listing fuels surge

SpaceX’s stock price surged on Tuesday, pushing its market value above Amazon’s and briefly surpassing Microsoft’s, according to preliminary data. The rocket and AI company’s shares rallied but later pared gains, contributing to a mixed session where the Nasdaq Composite and S&P 500 fell by 1.15% and 0.55%, respectively, while the Dow Jones Industrial Average rose 0.67% to a record close of 52,016.57. Investors rotated out of technology stocks, which had seen sharp gains the prior week, into sectors like financials and industrials. The S&P 500 closed at 7,512.44, down 41.85 points, while the Nasdaq ended at 26,382.81 after losing 301.13 points. Analysts attributed the pullback to cautious sentiment ahead of the Federal Reserve’s policy announcement later in the week, with traders expecting rates to remain steady at 3.50% to 3.75% but monitoring signals on inflation and economic outlook. Oil prices dropped 5.8% as details of a U.S.-Iran interim deal emerged, set to extend a 60-day ceasefire and reopen the Strait of Hormuz, which Iran had restricted since U.S. and Israeli strikes in February. The agreement includes provisions for Iran to resume oil sales, easing supply concerns that had driven prices higher. U.S. President Donald Trump stated the deal would prevent Iran from acquiring a nuclear weapon, though market reactions focused on its potential impact on energy markets and inflation. In corporate news, Olin’s shares fell after announcing a $2.43 billion all-stock acquisition of Huntsman, while Yum Brands’ stock rose following its plan to sell Pizza Hut for $2.7 billion amid competition challenges. The Fed’s upcoming decision remains the key focus, with traders pricing in a 42% chance of a December rate hike, though most expect stability through 2024.