Asia shares rise ahead of SpaceX IPO

June 12, 2026 (MLN): Asian markets advanced on Friday as investor sentiment improved following indications that a diplomatic breakthrough between the United States and Iran could be imminent, easing concerns over geopolitical tensions in the Middle East.

Japan led regional gains, with the Nikkei 225 surging more than 3% after futures signaled a strong opening.

Hong Kong and Australian markets also traded higher, while South Korea's benchmark Kospi posted an even stronger rally, reflecting broad-based optimism across the region.

Market sentiment received a boost after U.S. President Donald Trump stated that Washington and Tehran were close to finalizing a peace agreement.

Speaking at the White House, Trump said negotiations had reached an advanced stage and that a formal signing could take place within days. He added that the proposed agreement would ensure Iran does not acquire nuclear weapons.

The prospect of reduced geopolitical risk also fueled gains on Wall Street overnight.

The S&P 500 climbed 1.75%, while the Nasdaq Composite jumped 2.54%, supported by strength in technology and semiconductor stocks. The Dow Jones Industrial Average gained nearly 930 points, rising 1.86%, according to CNBC.

U.S. equity futures remained modestly positive ahead of Friday's session, with futures linked to the S&P 500, Nasdaq 100, and Dow Jones Industrial Average all edging higher as investors assessed the outlook for markets following the latest diplomatic developments.

Attention is now shifting to SpaceX, which is set to make its highly anticipated Nasdaq debut. The aerospace company has priced its shares at $135 each, implying a valuation of approximately $1.77 trillion.

The offering is expected to raise around $75bn, making it the largest initial public offering ever attempted and significantly surpassing previous records.

While the listing is being viewed as a major milestone for global capital markets, some analysts caution that the sheer size of the offering could temporarily absorb liquidity and increase market volatility.

Large IPOs often prompt investors to reallocate funds from existing holdings, potentially creating short-term pressure on broader equity markets.

Despite those concerns, market strategists remain constructive on the technology sector, particularly companies linked to artificial intelligence.

However, they warn that elevated valuations, ongoing geopolitical uncertainties, and the approaching U.S. midterm election cycle could contribute to greater market fluctuations during the second half of the year.

Investors will also monitor the release of the preliminary June reading of the University of Michigan consumer sentiment survey later on Friday for further clues about the health of the U.S. economy and consumer confidence.

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