Market Close: Stocks Rally, Oil Falls, SpaceX Results Mixed • 8/4/26

Summary

CNBC's Jessica Ettinger recaps Tuesday's record stock rally fueled by strong earnings and Treasury Secretary Bessent's hint of a Strait of Hormuz reopening deal, which sent oil down 5%. Expert commentary from Allianz's Mohamed El-Erian and Lazard's Peter Orszag cast doubt on the deal's durability. SpaceX reported a revenue beat driven by Starlink. Texas ordered an audit of new data center grid connections, and the watch list previews Disney, Eli Lilly, and Expedia earnings.

• Stocks hit record highs on strong earnings and hopes for Strait of Hormuz reopening
• Oil prices fell 5% after Treasury Secretary Bessent suggested an imminent deal
• Mohamed El-Erian noted the market is singularly focused on the Strait, ignoring other war issues
• Peter Orszag cautioned that any deal may be unsustainable and the market shouldn't believe it
• SpaceX posted a revenue beat with Starlink now the main revenue driver
• Texas paused new data center grid approvals, joining New York in scrutinizing the sector
• Wednesday's earnings lineup includes Disney, Eli Lilly, and Expedia