Meta Stock Surges $95 Billion in Single Day as Airline Sector Rebound

U.S. equities closed sharply higher on Wednesday following a last-minute two-week ceasefire agreement between the United States and Iran, lifting investor sentiment across markets.

The Dow Jones Industrial Average surged 2.85%, gaining 1,325 points, the largest single-day gain in nearly a year. The S&P 500 rose 2.5% to its highest level in a month, while the Nasdaq Composite climbed 2.8%, marking its sixth consecutive winning session. The CBOE Volatility Index, often called the “fear gauge,” fell 18%, reaching its lowest point since the Iran conflict began.

Shares of Meta jumped 6.5%, hitting a three-week high and adding $95 billion to the company’s market capitalization in a single session. The surge followed the unveiling of Muse Spark, the company’s first super-AI model developed by its newly formed AI team. Initially, Muse Spark will be available on Meta’s AI app before broader rollout across other platforms.

Airline stocks staged a strong recovery after being hit hard during the Iran conflict due to flight disruptions and rising fuel costs.

Delta Air Lines: +3.7%

Southwest Airlines: +7%

United Airlines: +8%

The ceasefire also raises hopes for reopening the Strait of Hormuz, through which one-fifth of the world’s oil flows, further easing global energy market tensions.

The rally was not limited to U.S. equities, European stocks (STOXX) gained 3.9%, and the MSCI World Index rose over 3%, marking their biggest daily increases in a year.

Wednesday’s session reflected a broader market relief rally, fueled by geopolitical de-escalation, optimism about corporate innovation, and potential stabilization in energy markets.