- Optimism prevails on hopes of a diplomatic breakthrough between Washington and Tehran.
- However, conflicting signals from Iran and deeply bearish retail sentiment suggest the rally may be fragile.
- Reports suggest that a SpaceX IPO prospectus could be filed as soon as this week, potentially valuing the company at $1.25 trillion.
U.S. stock futures rose early Wednesday on optimism around a potential diplomatic breakthrough in the Middle East. This came after President Donald Trump said that Tehran is “talking sense” and may be eager to broker a deal. Reports suggest that the U.S. has sent a 15-point peace plan to Iran via Pakistan. Meanwhile, the Iranian Armed Forces’ unified command has reportedly rejected talk of negotiations amidst ongoing airstrikes.
As of 4:30 a.m. ET on Wednesday, Dow, S&P 500, and Nasdaq futures rose over 1%, and Russell 2000 futures were up 1.5%.
Retail sentiment toward the SPDR S&P 500 ETF (SPY), an exchange-traded fund that tracks the S&P 500 Index, and the Invesco QQQ Trust (QQQ) ETF, which tracks the Nasdaq-100 Index, has remained ‘extremely bearish’ amid high trading volume.
Trending Stocks To Watch
Tesla (TSLA): Reports suggest that a SpaceX IPO prospectus could be filed as soon as this week, potentially valuing the company at $1.25 trillion. Some analysts warn that Tesla shareholders may rotate capital into the listing.
Nvidia (NVDA): The chipmaker saw significant insider buying. Filings show that Director Mark Stevens purchased 221,682 shares (valued at approximately $38 million) between March 20 and March 24.
Meta Inc (META): A New Mexico jury ordered Meta to pay $375 million for violating children's safety laws. Meta and YouTube also face a separate lawsuit alleging they made misleading claims about platform safety. In other news, Meta Platforms is boosting top executive pay and offering first-ever stock options to retain leaders and compete in the AI race.
Microsoft (MSFT) remains in focus as scrutiny of AI spending builds across Big Tech. The stock has slid sharply over the last two weeks, widening the gap between the current price and its 200-day moving average.
Walt Disney Co (DIS): The company announced it will wind down its partnership with OpenAI just three months after its launch to prioritize IP protection.
Arm Holdings (ARM): The stock surged nearly 10% in early pre-market trading after its CEO shared an ambitious 2031 revenue projection. The company also unveiled its first in-house chip.
Palantir (PLTR): Reports suggest that, as a part of a consortium (including Lockheed Martin and RTX), the company is developing software for the "Golden Dome" antimissile shield.
Chevron (CVX): It has reportedly warned that California faces a looming energy crisis due to disruptions from the war in Iran and may exit refining operations in the state unless tax and regulatory burdens are eased.
Circle Internet (CRCL): It has seen heavy retail attention following the review of a draft U.S stablecoin bill that proposed banning yield on stablecoins across exchanges. Meanwhile, Cathie Wood's ARK Investment bought 161.5K shares of Circle Internet on Tuesday.
ImmunityBio (IBRX) and Fundrise Innovation Fund (VCX) are seeing elevated retail chatter.
Other tickers trending on Stocktwits at the time of writing included Opendoor Technologies (OPEN), Alphabet Inc (GOOGL), Terns Pharmaceuticals (TERN), and Ondas Inc (ONDS).
Other Catalysts To Watch
On earnings radar, watch out for quarterly reports from Chewy Inc (CHWY), PDD Holdings (PDD), Ondas Inc (ONDS), Beyond Meat Inc (BYND), Plus Therapeutics Inc (PSTV), among others, today.
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