Nasdaq expected to lead gains despite Trump warning of more Iran strikes

• Nasdaq led the rebound with Intel up nearly 10%, followed by Lam Research, Applied Materials, ARM, AMD, and ASML, while the Dow and S&P 500 gained 0.8%
• Trump's warning of strikes on Iran's Kharg Island and other oil sites sent crude oil prices rebounding above $90/barrel after falling overnight from $93
• Producer price inflation for finished goods excluding food and energy is projected to rise at a 5% annual pace in coming months due to upstream pressure from intermediate input costs that jumped 1.8% in May

Market Summary: Nasdaq Leads Recovery Despite Iran Tensions

Market Performance:

US markets opened positively on June 11, 2026, with the Nasdaq gaining over 1% in early trading, while the Dow and S&P 500 rose 0.8%. This rebound follows Wednesday's sharp selloff where the Nasdaq fell 2%, the Dow dropped 1.9%, and the S&P 500 declined 1.6%.

Leading Sectors:

Semiconductor stocks drove the Nasdaq rally, with Intel surging nearly 10%, followed by strong gains in Lam Research, Applied Materials, ARM Holdings, AMD, ASML, and Marvell. Blue-chip gainers included Caterpillar, Amgen, Sherwin-Williams, and Honeywell, while Microsoft, Salesforce, Cisco, and Amazon lagged.

Inflation Data:

May's Producer Price Index (PPI) rose 1.1% monthly and 6.5% year-over-year—the sharpest 12-month increase since late 2022. Consumer price inflation accelerated to 4.2% in May, the fastest pace in over three years. Pantheon Macroeconomics predicts core goods prices could rise at a 5% annual rate in coming months, though inflation may "fall sharply around the turn of the year," potentially allowing Fed rate cuts if labor markets weaken.

Geopolitical Tensions:

President Trump warned of imminent strikes on Iran's Kharg Island and other oil infrastructure to control Iranian energy markets. This sent oil prices and bond yields spiking. WTI crude rebounded above $90/barrel after briefly falling below that level.

Market Catalyst:

SpaceX's highly anticipated $75 billion IPO is expected, representing "the first major test for public markets after years of muted IPO activity," according to Wedbush analyst Dan Ives.