Overview
- The S&P 500 and Nasdaq slipped Tuesday while the Dow reached a record as traders booked gains in semiconductors and large AI-focused tech firms, weighing on the market-cap weighted indexes.
- Brent crude fell below $80 a barrel after emerging details of the U.S.-Iran interim deal signaled the Strait of Hormuz could reopen, which lowered energy risk and helped push investors into industrials and financials.
- SpaceX continued a blistering post-IPO run that briefly put its valuation ahead of Amazon, and the company announced a roughly $60 billion purchase of Anysphere and saw sharp intraday swings as options began trading.
- Company-specific moves amplified volatility, with Morgan Stanley lifting its price target on Western Digital and Fox shares tumbling after announcing a proposed $22 billion deal for Roku.
- Investors took a more cautious tone as the Federal Reserve began its two-day meeting under Chair Kevin Warsh, watching for signals on inflation and any shift in the likely path for interest rates.