President Trump announced on Monday that negotiations with Tehran are currently in progress, characterizing this as Iran's "last chance" to reach an agreement. Iranian officials, however, have countered that no negotiations with the United States are taking place, stating their only discussions are with Oman regarding the Strait of Hormuz. Trump claimed that these discussions were initiated at the request of Iran, Saudi Arabia, the United Arab Emirates, and Qatar. Following Trump's optimistic statements about diplomacy, Brent crude futures experienced a decline of approximately 7%, reaching a three-week low on Monday. Analysts, however, cautioned that this market reaction might be premature, citing considerable uncertainty surrounding the situation.
Meanwhile, SpaceX is preparing to release its first-ever quarterly earnings report as a public company after the market closes on Tuesday. The company has reported significant losses, including about $4.3 billion in the first quarter of the current year and roughly $4.9 billion in 2025. While SpaceX generates billions in revenue from its Starlink satellite internet service, it also incurs substantial expenses from rocket launches and its artificial intelligence business, including data center construction. Despite these revenues, analysts do not anticipate SpaceX to report a profit in its inaugural quarterly report.
Analysts are particularly interested in understanding the extent of SpaceX's cash burn and whether its revenue is on an upward trajectory. The company is expected to report a loss of approximately $1.9 billion on revenues of $6.8 billion for the quarter ending in June. This projected loss represents a roughly 50% improvement compared to the previous quarter's performance. There is also speculation that SpaceX could achieve a break-even point by the end of September, partly due to a significant contract with AI lab Anthropic, which is reportedly paying $1.25 billion per month since July. Investors are also keen to hear updates on the Starship rocket launches, which have experienced both setbacks and successes in July.
