SpaceX IPO, U.S-Iran deal, Bezos on AI and more in Morning Squawk

In a significant moment for the financial world, SpaceX is poised to make its public debut on the Nasdaq, marking a historic initial public offering (IPO) that is anticipated to break records and create a wave of new millionaires. This highly awaited event is the highlight of the trading day as stock futures rise following a robust rally seen in yesterday's market session. Investor optimism was bolstered by President Donald Trump's recent announcement regarding a potential U.S.-Iran peace agreement. Trump suggested that the U.S. has reached a favorable settlement concerning the long-standing conflict, with expectations of finalizing the agreement within days. Reports indicate that the proposed deal would involve Iran reopening the Strait of Hormuz in exchange for the U.S. lifting oil sanctions. This development contributed to a notable drop in oil prices and a surge in stock values, helping the S&P 500 move into positive territory for the week. In another significant political development, Trump has nominated Jay Clayton as the permanent director of national intelligence. Currently serving as the U.S. Attorney for the Southern District of New York and a former chairman of the SEC, Clayton is expected to take over from Bill Pulte, who has been acting in the role following Tulsi Gabbard's resignation. Clayton's appointment comes amid controversy, as some lawmakers have expressed concerns over Pulte's limited experience in intelligence matters, leading to a pledge from Democrats to oppose any short-term extension of key national security provisions. On the innovation front, Jeff Bezos' AI venture, Prometheus, has successfully raised $12 billion in its latest funding round, resulting in a valuation of $41 billion for the startup. Bezos, speaking with CNBC, highlighted the remarkable progress Prometheus has made, though he noted that it is still too early to unveil specific achievements. The funding will be used to enhance the company's capabilities in developing AI models designed for physical tasks. Looking ahead, the political landscape is set to heat up as advertising spending for the upcoming 2026 midterm elections is projected to reach a staggering $11.6 billion, surpassing previous estimates. With over $5 billion allocated for broadcast ads alone, states like California, Texas, Michigan, and Ohio are expected to see the highest levels of spending. As the election cycle approaches, the implications for advertisers and political campaigns will be significant. Stay informed with real-time market updates and analysis as these stories unfold, shaping the financial landscape and beyond.