A Week at A Galacne: Trump's Iran Delay and AI Optimism Fuel Market Surge

This week in global markets was defined by a mix of geopolitical relief and AI-driven optimism, as President Trump's decision to delay Iran-related military action sparked a broad rally across equities and commodities. Meanwhile, Nvidia’s GTC 2026 conference and strong earnings from Micron and Albemarle underscored the growing influence of the tech and materials sectors. Energy and industrials led the way, with Arcelormittal and Xpeng delivering standout returns, while the biotech sector remained a rollercoaster, with dramatic moves in stocks like BioVie and BioLineRx. With uncertainty still looming over private credit and corporate bond markets, the week ended on a strong bullish note, setting the stage for more volatility ahead.

Market Movement: This week’s most notable stock movement came on Friday, when PayPay (PAYP) surged a staggering +21.16%, reflecting renewed investor appetite for high-growth digital payment platforms. On the same day, Urban-gro (UGRO) saw an eye-popping +182.11% jump, showcasing the extreme volatility of the biotech sector. Arcelormittal (MT) was another standout performer, climbing +8.14% on Wednesday, driven by strong demand for steel in industrial and construction markets. Xpeng (XPEV) followed closely with a +7.52% gain on Friday, benefiting from easing trade concerns and global EV demand.

What's Been Around?: The week was shaped by several high-impact events. First, President Trump’s surprise decision to delay planned military strikes against Iran’s energy infrastructure triggered a broad market rally, with equity indices and oil prices rebounding strongly. The move eased geopolitical tensions and boosted investor sentiment. Second, Nvidia’s GTC 2026 conference sent ripples through the AI sector as CEO Jensen Huang announced a projected $1 trillion in cumulative revenue from its Blackwell and Rubin AI chips, raising the stock’s fair value and fueling optimism. Third, Micron Technology reported blowout earnings and raised guidance for AI and data center demand, though the stock sold off after the report, highlighting lingering market skepticism over the sustainability of its current valuation. Finally, Oracle saw significant fair value swings due to shifting assumptions about its cloud and AI growth prospects, raising questions about its future direction.

Bullish Bounce from Geopolitical Relief and Tech Optimism: The overall market trend for the week was clearly bullish, driven primarily by Trump’s Iran delay, which alleviated fears of a military conflict and reduced uncertainty in energy and equity markets. Additionally, strong earnings and AI projections from key tech companies like Micron and Nvidia bolstered investor confidence. Looking ahead, continued geopolitical developments, particularly in the Middle East, along with key corporate guidance and potential Fed activity, will be crucial to watch. The biotech and private credit sectors remain high-risk, high-reward areas, and the AI sector’s momentum could either sustain the rally or introduce new volatility depending on execution and macroeconomic conditions.