SpaceX tops Amazon briefly, Dow drops 500, OpenAI loses $38.5B

SpaceX’s shares surged to a $2.94 trillion valuation, overtaking Microsoft and Amazon for a few hours, marking the first time a rocket maker entered the U.S. top‑four by market cap. The spike follows a 20% first‑day jump and a $60 billion AI‑coding startup acquisition, intensifying scrutiny of its lofty growth targets.

BlackRock’s global‑fixed‑income CIO Rick Rieder told Bloomberg that Bitcoin will ultimately rise “considerably higher” over the long term, despite the crypto’s 50% drop from its all‑time high. He framed the view as a strategic allocation, not a short‑term bet, hinting at deeper institutional appetite.

The Dow Jones Industrial Average fell more than 500 points after new Fed chair Kevin Warsh’s debut policy meeting, marking the steepest first‑day drop for a chair since 1994. The slide reflects market nerves over a hawkish stance that could keep rates higher longer, reshaping borrowing costs and equity valuations.

Audited documents show OpenAI spent $34 billion in 2025 and posted a net loss of $38.5 billion, up from $5.09 billion the year before. The loss includes a $41.55 billion write down from its nonprofit to for profit conversion, highlighting the scale of cash burn as the company gears toward an IPO.

The Fed’s median projection now places the federal funds rate at 3.8% by year‑end 2026, up from 3.4% in the March outlook. Chairman Kevin Warsh skipped the dot‑plot vote, highlighting a split among policymakers and foreshadowing a possible rate hike that could ripple through markets.

The SEC has scrapped its 50‑year “no‑deny” settlement rule, ending the requirement that defendants keep quiet about allegations. Chairman Paul Atkins says the change aligns the agency with other regulators and speeds the return of money to harmed investors. The move signals a shift toward looser enforcement leverage.

Lockheed Martin and GM Defense have signed an MOU to merge Lockheed's defense‑production know‑how with GM's high‑rate commercial manufacturing. The pact aims to accelerate weapons and munition output, shore up supply‑chain resilience, and expand U.S. defense capacity amid mounting geopolitical pressure.

Yum! Brands agreed to sell Pizza Hut, excluding mainland China, to LongRange Capital and Yum China in two transactions worth $2.7 billion. The cash will fund a $4 billion share repurchase program and let Yum focus on its core KFC and Taco Bell brands. The split ownership tailors each market to operators with relevant expertise.

SK hynix has delivered 12‑stack HBM4E samples featuring 48 GB capacity and 16 Gbps per pin speeds to major AI customers. The chips promise over 20% power‑efficiency gains and a 17% heat‑resistance improvement, positioning the company to challenge Samsung in next‑gen AI memory.

AI founders are reporting contracted ARR (CARR) as actual recurring revenue, turning back‑loaded deals into today’s numbers. This inflates growth metrics, misleads investors, and can distort $100 mm‑scale funding rounds. Understanding the ARR vs CARR distinction is now essential for VC due diligence.