U.S. equity markets opened higher Thursday, buoyed by Apple’s $100 billion U.S. investment pledge, a record-setting Firefly Aerospace IPO, and early signs of labor market cooling, which tempered fears of runaway inflation even as stagflation concerns linger.

Indexes Advance on Renewed Optimism

At 9:31 a.m. ET, major indexes pushed into the green: Early strength in technology and industrials was mirrored in the commodities market, with Gold Dec 2025 futures rising $20.60 to $3,454.00 and Crude Oil Sep 2025 contracts up $0.23 to $64.58.

Apple's $100B U.S. Bet Lifts Markets, Tech Suppliers

Investor sentiment surged following Apple’s announcement of a $100 billion incremental investment in U.S. manufacturing and supply chain infrastructure, part of a broader $600 billion commitment. The pledge appears to have secured exemptions from the Trump administration’s newly imposed 100% semiconductor tariffs, which took effect at midnight.

According to CFRA’s Angelo Zino, the exemption means Apple is “well-positioned,” eliminating the need for iPhone 17 pricing hikes and alleviating margin compression risks. Zino added, “we think AAPL is poised to see more upside to shares as it climbs a wall of worry”.

Wedbush analyst Daniel Ives called the move a “good strategic poker move for Cook,” describing it as a way to "get on Trump’s good side" while reinforcing Apple's U.S. operations. Wedbush maintained its Outperform rating and $270 price target, pointing to the American Manufacturing Program and deeper ties with suppliers like Corning and Coherent.

Firefly IPO Ignites Interest in Space Sector

Shares of Firefly Aerospace (NASDAQ: FLY) began trading Thursday after raising $868.3 million at $45 per share, valuing the Texas-based space and defense firm at $6.3 billion—the year’s largest U.S. space tech listing.

Backed by investors such as Northrop Grumman and AE Industrial Partners, Firefly boasts the only fully upright private lunar landing to date and a $1.1 billion contract backlog. The company aims to capitalize on rapid-launch capability, with its Elytra space vehicle fleet targeting 24-hour orbit turnaround.

The offering was oversubscribed by 25x, reflecting robust institutional demand. Proceeds will fund debt repayment and infrastructure expansion.

Jobs Data Suggests Labor Market Softening

Fresh data from the U.S. Department of Labor shows seasonally adjusted initial jobless claims rose to 226,000 in the week ending August 2, up 7,000 from the prior week. Insured unemployment climbed to 1.974 million—the highest since November 2021—while the insured unemployment rate remained at 1.3%.

The increase in claims comes as Apollo Global Management’s Torsten Slok warns that stagflationary pressures are building. “Inflation pressures in the service sector are intensifying, pointing to upside risks to CPI,” Slok wrote. He noted that tariffs, deportations, and dollar depreciation are simultaneously slowing employment growth.

Outlook: Navigating Tariffs, Labor, and AI Tailwinds

Despite macroeconomic uncertainty, market participants appear focused on firm-level strategies to mitigate regulatory risks. Apple’s model of securing tariff exemptions through U.S. investment is seen as a potential blueprint for other sectors, including pharmaceuticals, which face proposed tariffs as high as 250%.

Meanwhile, AI remains a key growth driver. Wedbush’s Ives emphasized that Apple is on track to build an end-to-end U.S. chip supply chain and produce over 19 billion chips domestically in 2025—underscoring Cupertino’s focus on aligning with Trump’s “America First” agenda without compromising tech innovation.