Stock Market Summary – June 13, 2025

Oracle shares are experiencing their best week since 2001, increasing by approximately 24% following a robust earnings report and optimistic projections for their future in cloud computing. The software giant exceeded revenue and earning predictions, with Oracle CEO Safra Catz predicting sales to surpass $67 billion in the new fiscal year. The company’s capital expenditures for the 2025 fiscal year exceeded $21 billion and are set to reach $25 billion in fiscal 2026. Clients using Oracle’s services include Meta, OpenAI, and Elon Musk’s xAI.

Financial markets dropped on news of increased tension in the Middle East following Israel’s attack on Iran’s nuclear infrastructure. The Dow Jones Industrial Average fell by almost 2%, and the S&P 500 and Nasdaq both dropped more than 1%. Oil prices surged, with Brent crude increasing 7% to over $74 a barrel and West Texas Intermediate Crude also spiking 7%.

The stock of Air India and Amazon experienced losses due to respective crises. Air India’s stock dropped after a fatal crash involving one of its Boeing 787 Dreamliner jets, killing 241 of the 242 people on board. Amazon is restructuring its healthcare business into six new units, aiming for a “simpler structure”, amid competitive pressures and senior management departures.

Tension in the Middle East has made investors cautious. Despite a fall in indexes, including a 1% decrease for the Dow, a 0.6% decrease for Nasdaq, and a 0.5% decrease for the S&P 500, experts advise against drastic portfolio adjustments. They encourage investors to remain focused on long-term sales and earnings. Some sectors, such as energy, healthcare, and utilities, are still performing well amidst the crisis.

In other news, Amazon is restructuring its healthcare business into six units to create a simpler structure and to try to break into the multitrillion-dollar US healthcare industry. Meanwhile, Advanced Micro Devices (AMD) will unveil its vision for advancing AI with its CEO and industry luminaries.

1. Energy stocks saw a significant increase due to a rise in oil prices following Israel’s airstrikes against Iran, with Chevron and Exxon Mobil rising around 1% each. Halliburton saw gains of over 4% while EOG Resources rose more than 3%. However, payment companies faced significant losses with Visa and Mastercard falling more than 5% each, following reports that Walmart and Amazon are considering the issuance of their own stablecoins.

2. Bank of America has stated that the S&P 500 appears statistically expensive based on all 20 of the valuation metrics it tracks. According to Savita Subramanian, equity and strategian for the firm, the S&P 500 now trades at 21-times forward earnings, 35% above its historical average. Despite this, the S&P 500 is up around 2% in 2025.

3. The IPO market in June has seen significant success, contributing to the rise of big banks. Notably, Chime saw a 37% rise on its public debut on the Nasdaq. Additionally, the market has also seen strong IPOs from companies like Voyager Technologies and Circle. As a result, Goldman Sachs and Wells Fargo are expected to experience further upside due to their involvement in such investments.

4. Archer Aviation’s stocks dropped by about 15% due to the sale of $850 million worth of shares. This move followed President Donald Trump’s recent creation of a pilot programme to support the development and deployment of eVTOL vehicles in the U.S. Despite regulatory and safety challenges, Archer is continuing to proceed with its plans and aims to provide air taxi services for the 2028 Olympics in Los Angeles.

5. Modine Manufacturing, a producer of thermal management solutions, has been tipped for significant growth by KeyBanc Capital Markets. The company is focusing on high growth opportunities in the data center market, targeting cooling needs. Modine is expected to maintain robust organic growth momentum and is predicted to see sales for its data center business reach ~30% by 2026. At present, shares have pulled back 19% however, have rallied 23% in Q2 2025. The potential upside has led KeyBanc to set a $125 price target for the stock.