Markets Rally as SpaceX Debut Looms, Adobe Drags Tech

The Big Picture

US equity futures are pointing higher Friday. The S&P 500 and Nasdaq gained ground on hopes that a potential US-Iran deal could ease energy prices. Oil sank to a three-month low on reports Washington is close to striking an agreement with Tehran. Lower energy costs would ease inflation pressure. Bond yields dipped in response.

SpaceX in Focus

The SpaceX IPO is dominating market conversation. Futures are climbing ahead of what could be one of the biggest public market debuts in years. The event is drawing speculative capital away from other names — gold fell to a six-month low, in part as investors redirected cash toward the offering.

Adobe Hammered on Two Fronts

ADBE is Friday's biggest loser. Evercore ISI cut its rating from Buy to Hold and slashed its price target from $325 to $225. Baird trimmed its own target to $230 on the same day. The CFO departure added fresh uncertainty. AI competition and slowing creative software growth are driving the concern. Options traders piled into June 12 puts. Short interest is only 4.8% of free float — the de-rating is coming from analysts, not short sellers.

Nasdaq-100 Reshuffle

CoreWeave, Astera Labs, and Nebius Group were added to the Nasdaq-100. That is a meaningful catalyst. Index fund managers must now buy these names to track the benchmark. CoreWeave's short interest already sits at 15.9% of free float — the index inclusion could intensify any squeeze.

European Defence Retreats

European defence stocks reversed course today. The rally that ran for weeks stalled on funding concerns. Higher government borrowing costs are squeezing defence budgets across the continent. Shell also made headlines after suspending its share buyback programme — a signal of caution from one of Europe's largest companies.

Charles Schwab Milestone

SCHW reported total client assets of $13.14 trillion at end of May. That is up 27% year-over-year — a clear sign of how far markets have recovered.