Wall Street Ends the Week with Fresh Records as Apple and AI Hype Dominate

Apple Steals the Show

Apple (AAPL | +3.2%) carried Wall Street on its shoulders after the launch of the long-awaited iPhone 17. For the first time in four years, the company drastically redesigned the device, including the ultra-thin iPhone 17 Air. JPMorgan expects 236 million units to be sold in 2026, a 2% uptick.

Yes, some Chinese customers were quick to complain online about scratches on the new deep-blue aluminum version, but investors shrugged it off.

The stock jumped more than 3% and was the clear driver behind the Nasdaq’s (+0.7%) and Dow’s (+0.5%) record closes. Only the Russell 2000 lagged, dropping nearly 1% after Thursday’s own record run.

Golden Days for Miners

Gold futures rose 1% to $3,673 per ounce, sending gold miners soaring.

Newmont (NEM | +4.34%) gained after selling its 13% stake in Orla Mining for $439 million, freeing up cash for other “capital allocation priorities.” Despite bullion hitting record highs, miners are still playing catch-up to their 2022 peaks—but they’re getting close.

Netskope’s Hot Start

Cybersecurity newcomer Netskope (NTSK | +10.0%) extended its strong Nasdaq debut. After pricing at $19 and closing its first day at $22.49 (+18%), the stock surged again on Friday to $24.70.

The company, with a $9.4 billion market cap, reported $538 million in revenue for FY2025, though it still posted a hefty $355 million loss. Investors don’t seem to mind, AI + cybersecurity remains one of the hottest trades in town.

Macro & Geopolitics: Fed Tailwinds and TikTok Deal

Markets are still riding the wave of the Fed’s rate cut earlier in the week, with more easing expected before year-end. Historically, rate cuts without a recession tend to fuel double-digit equity gains globally, according to JPMorgan’s Madison Faller.

Meanwhile, U.S.–China relations got a small boost. President Donald Trump announced a “very productive” call with President Xi Jinping. A deal over TikTok appears in the works, with Oracle (ORCL | +4.06%), Silver Lake, and Andreessen Horowitz expected to take an 80% stake in its U.S. business. Still, regulatory hurdles could drag out final approval.

Musk Pushes Back on $10 Billion xAI Funding Rumors

One of Friday’s headline grabbers turned out to be premature. CNBC reported that Elon Musk’s AI startup xAI had raised more than $10 billion at a staggering $200 billion valuation, supposedly to fund massive data centers built with Nvidia and AMD chips.

Musk quickly dismissed the story, calling it “fake news” and insisting, “xAI is not raising any capital right now.”

The denial throws cold water on speculation of a blockbuster funding round, but the underlying story remains: xAI is aggressively scaling its data center capacity, including Colossus, its supercomputer cluster in Memphis, already touted as the world’s largest.

While the supposed valuation spike might not (yet) be real, xAI’s ambitions to compete head-to-head with OpenAI and Anthropic are very much alive.

For investors, the takeaway is clear: don’t underestimate Musk’s ability to keep the AI sector on its toes, even without a funding headline.

Other Movers

FedEx (FDX | +2.32%) impressed with earnings, beating expectations and guiding stronger growth than analysts had anticipated.

Lennar (LEN | –4.18%) disappointed investors with weaker-than-expected results.

Tesla (TSLA | +2.21%) gained ground despite the confusion around xAI funding; Musk’s ventures continue to keep markets guessing.

The New York Times (NYT | –0.12%) slipped slightly after a federal judge dismissed Trump’s $15 billion defamation lawsuit, calling it a “venomous diatribe.”

Looking Ahead

With the Fed in easing mode, AI still sizzling, and geopolitical frictions temporarily cooling, markets seem primed for more upside.

The only fly in the ointment? Washington politics. A budget impasse means a government shutdown looms if no deal is struck before September 30.

For now, though, Wall Street is in record-breaking mode and investors are clearly enjoying the ride.

---

Kristoff - ChartMill

Next to read: Market Breadth Pulls Back After Record Highs