S&P 500 Hits 7,800 as SpaceX Seeks $40 Billion
U.S. stock markets reached new highs led by AI volatility and a massive funding push by SpaceX to expand its compute capabilities.
The S&P 500 closed above 7,800 for the first time last week, ending with a weekly gain of 1.2%. Market volatility was primarily driven by the artificial intelligence sector, which suffered a sharp decline on Thursday after a Financial Times report questioned the revenue growth of OpenAI, though the sector recovered by Friday.
Space Exploration Technologies Corp. sought to raise $40 billion to purchase Nvidia chips and expand its AI compute business. The company also announced the acquisition of a nationwide spectrum portfolio to improve the mobile capabilities of Starlink. In response to this expansion, Goldman Sachs raised its price target for the company to $230, and Barclays initiated coverage, describing the firm as the name to own in space.
In the consumer sector, Starbucks showed signs of a turnaround in consumer data. Reports also indicated that the coffee chain explored the potential acquisition of Chipotle.
