Wall Street closed the week on a positive note Friday, with all major indices posting gains in a session dominated by two powerful forces: the historic SpaceX IPO and renewed optimism over a US-Iran diplomatic breakthrough.
The Dow Jones Industrial Average rose 353 points (+0.7%) to 51,202, the S&P 500 added 37 points (+0.5%) to 7,431, and the Nasdaq Composite gained 79 points (+0.3%) to 25,889. The small-cap Russell 2000 outperformed, climbing 0.8% to 2,944.
A volatile week in review
The week of June 8–12 was a roller-coaster. The S&P 500 opened Monday near 7,406, drifted lower through Tuesday, then cratered on Wednesday — plunging 1.6% in a broad sell-off led by semiconductor stocks and geopolitical jitters after fresh US and Israeli strikes on Iran.
Then came the reversal. Thursday delivered a massive 930-point Dow surge on reports that President Trump was pursuing a diplomatic deal with Iran. Friday's more measured gains capped a week that saw the S&P 500 net roughly +0.5%, despite the violent Wednesday rout.
SpaceX makes history
SpaceX (ticker: SPCX) provided the week's biggest headline, making its Nasdaq debut on Friday after pricing the largest IPO in history at $135 per share. The stock opened at $150 and closed at $160.95, up 19% from its IPO price, at a valuation approaching $2 trillion.
Retail demand was extraordinary — orders reportedly exceeded $100 billion. The IPO raised approximately $75 billion for the company, and the first-day pop boosted sentiment across tech and space-related names.
Geopolitical détente fuels rotation
The emerging US-Iran framework — reported to include a 60-day ceasefire extension, a phased reopening of the Strait of Hormuz, and initial steps on Iran's nuclear program — sent oil prices sharply lower. Brent crude fell roughly 3.4% on Friday, providing a powerful tailwind for equities by easing inflation concerns.
The drop in oil drove sector rotation. Materials and chemicals stocks led the S&P 500 gainers: Mosaic (MOS) jumped 7.6%, Albemarle (ALB) gained 7.4%. Tech and semiconductors also rebounded, with Seagate (STX) up 7.3%, Intel (INTC) climbing 6.5%, and Western Digital (WDC) rising 6.4%.
What to watch next week
Investors will look for progress on Iran talks over the weekend — any setback could reverse the week's relief rally. Key economic data on tap includes the Empire State manufacturing survey, industrial production, and the Philadelphia Fed manufacturing index. Markets will also watch for any earnings pre-announcements tied to the SpaceX effect on tech valuations.
After a week that saw the S&P 500 drop below 7,267 before recovering 164 points in two days, the message from markets seems clear: geopolitics is the driver, and any whiff of détente is fuel for risk assets.
