Finance

In its first quarterly financial report since going public in June, SpaceX reported earnings that beat analyst estimates but saw its shares plunge roughly 13% to 14%. Investor enthusiasm was dampened by disclosure of aggressive capital expenditure plans aimed at artificial intelligence computing infrastructure. Despite highlighting rapid returns, shareholders expressed concern regarding how long the core Starlink division can finance these costly investments.

Nvidia shares jumped over 3% following comments from Elon Musk confirming that SpaceX will exclusively use its processors to construct its AI computing network. The news added further pressure to competitor Advanced Micro Devices, which saw its stock drop approximately 7%. Despite reporting a beat on adjusted earnings and providing a firm outlook, AMD failed to satisfy the heightened expectations of investors.

Crude oil prices remained relatively stable around $79 per barrel following updates that the United States and Iran have resumed diplomatic talks via Oman to potentially reopen the critical Strait of Hormuz. The progress in these peace discussions alleviated broader inflationary anxieties across Wall Street. Market strategists noted that while energy prices have cooled to multi-week lows, investors remain cautious until definitive progress materialized.