As it happened: FTSE 100 rises as easing Iran tensions offset GDP blow; SpaceX set for blast off
Welcome back to the CityAM liveblog.
Global equity investors are bracing for Musk’s record-breaking market debut
SpaceX is set to begin trading on Nasdaq today after Elon Musk’s rocket, satellite and AI empire pulled off the largest IPO in market history.
The company raised $75bn after pricing shares at $135, giving it a $1.77 trillion valuation and instantly making it one of America’s most valuable companies.
The float has also pushed Musk’s personal fortune above $1 trillion on paper, making him the world’s first trillionaire. Attention is now turning to whether SpaceX can break through the $2 trillion mark on its first day.
Prediction markets are assigning roughly 70 per cent odds to a $2 trillion-plus close, while SpaceX-linked perpetual contracts have traded around 30 per cent above the IPO price.
The frenzy comes despite warnings over the group’s finances. SpaceX has accumulated losses of more than $41bn since its founding and lost almost $5bn last year as it poured billions into Starship development and AI infrastructure.
Meanwhile, markets are continuing to digest the fresh impact of the Iran war. On Thursday Donald Trump said the US would be “hitting” Iran very hard and taking “total control” of the country’s oil and gas markets.
But hours later, he would go on to cancel the strikes and later say a “great settlement” has been agreed with Tehran and a deal is set to be signed “maybe over the weekend”.
The sentiment has brought relief to some equity analysts after market reaction became numb to any new developments. On Friday, the FTSE 100 was lifted by hopes of a peace deal finally being inked.
Jump straight to…
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