SG Morning Brief | Nasdaq Posts 5th Straight Loss and Worst Week in a Year; OpenAI Delays IPO to 2027

Weekend WrapOpenAI is delaying its IPO until 2027, the New York Times reported Friday, citing SpaceX's post-debut struggles. The company filed its S-1 on June 8 but advisers presented CEO Sam Altman with two options: wait for a $1 trillion valuation in 2027, or accept less now. Anthropic also filed its S-1 and has 70% odds of announcing by December per Kalshi. Trump accused Iran of a "foolish violation" after drones hit a cargo vessel near Hormuz. Saudi Aramco resumed oil loading at Ras Tanura after a near four-month halt — a key milestone, though overall Hormuz traffic remains well below pre-conflict levels.US Overnight (Friday Close)The Nasdaq fell 0.24% to 25,297.62, marking its fifth consecutive loss — the longest losing streak since February. The S&P 500 dipped 0.05% to 7,354.02, and the Dow shed 44.51 points (-0.09%) to 51,876.11. Nvidia fell 1.64% to $192.53, on pace for an 8% weekly decline, its worst in over a year. ON Semiconductor crashed 24% to $90.65 after agreeing to buy Synaptics in an all-stock deal worth $7 billion. SpaceX closed flat at $153.23 as it was added to the Russell 1000 index, with Nasdaq-100 addition set for July 6. Minneapolis Fed President Kashkari said he expects one rate hike this year. Michigan consumer sentiment came in at 49.5, slightly above estimates, but the key number was five-year inflation expectations plunging to 3.3% from 3.9% — the sharpest drop in months. Brent crude fell to $73.80, down roughly 8% for the week. For the week, the S&P lost 2%, the Nasdaq dropped 4.6%, and the Dow gained 0.6%.Key MoversON Semiconductor (ON) -24% — ON Semiconductor crashed 23.66% to $90.65 after announcing an all-stock acquisition of Synaptics for $7 billion. The dilutive structure and the premium paid sent shares to their worst day in years.SpaceX (SPCX) — flat — SpaceX closed at $153.23, barely changed (+0.15%), as its Russell 1000 addition went into effect. The stock has now fallen from its post-IPO peak of $202 to just 13% above its $135 IPO price. Nasdaq-100 inclusion is set for July 6.Nvidia (NVDA) -2% — Nvidia fell 1.64% to $192.53, its fifth straight decline, down roughly 8% for the week — its worst weekly performance in over a year. The selloff reflects the broader rotation out of AI infrastructure rather than any fundamental deterioration.SGX PreviewThe STI was near 5,070 recently. DBS is near S$62.18 and UOB near S$37.91. The Nasdaq's 4.6% weekly loss and OpenAI IPO delay signal a broader reassessment of AI valuations that could weigh on local tech names. However, the Dow's 0.6% weekly gain and improving market breadth — advancing stocks outnumbered decliners on Friday — suggest the rotation is healthy. Oil at $74 continues to ease Singapore's import costs. Michigan's 5Y inflation expectations plunging to 3.3% (from 3.9%) is the most bullish inflation signal in weeks.Asia Pre-MarketNo major US futures data available yet. Oil is near $74 (Brent) with Ras Tanura resuming loadings. The market enters the week with the Nasdaq's worst weekly performance since the KOSPI crash week and the OpenAI delay casting a shadow over AI sentiment. Bitcoin is at $60,015, in its eighth month of a bear market.This Week's US Earnings and Economic CalendarEventDateTime (ET)Time (UTC+8)Consumer ConfidenceTue Jun 3010:00 AM10:00 PMJOLTS Job OpeningsTue Jun 3010:00 AM10:00 PMADP EmploymentWed Jul 18:15 AM8:15 PMISM Manufacturing PMIWed Jul 110:00 AM10:00 PMCompanyDateTimingNike (NKE)Tue Jun 30Post-mktConstellation Brands (STZ)Tue Jun 30Pre-mktGeneral Mills (GIS)Wed Jul 1Pre-mktFriday July 3: US markets close early (Independence Day). SpaceX joins Nasdaq-100 July 6.One More ThingOpenAI delaying its IPO because SpaceX scared them is the most telling signal of the quarter. SpaceX raised $75 billion, debuted at $2 trillion, and within two weeks traded back near its IPO price. The Nasdaq's 4.6% weekly loss while the Dow gained 0.6% confirms the Great Rotation is accelerating. But Michigan's five-year inflation expectations collapsing from 3.9% to 3.3% offered a silver lining: if consumers believe inflation is fading, spending holds and the economy avoids recession even as AI stocks correct. The market is not breaking. It is rebalancing.This briefing is for informational purposes only and does not constitute investment advice.