Sign up for our daily briefing

Make your busy days simpler with Axios AM/PM. Catch up on what's new and why it matters in just 5 minutes.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Denver news in your inbox

Catch up on the most important stories affecting your hometown with Axios Denver

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Des Moines news in your inbox

Catch up on the most important stories affecting your hometown with Axios Des Moines

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Minneapolis-St. Paul news in your inbox

Catch up on the most important stories affecting your hometown with Axios Twin Cities

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Tampa Bay news in your inbox

Catch up on the most important stories affecting your hometown with Axios Tampa Bay

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Charlotte news in your inbox

Catch up on the most important stories affecting your hometown with Axios Charlotte

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Illustration: Sarah Grillo/Axios

This is more than just a stock market rebound. The stock market is so frothy now that it's driving a whole slew of corporate actions that otherwise might well not have happened.

Why it matters: The IPO market, in particular, is white-hot. Lemonade, for example, a small home-insurance company, originally indicated that it would go public at between $23 and $26 per share. In the end it priced at $29 — and traded above $70 on its opening day.

  • Palantir, the secretive intelligence tech company that has delayed an IPO for years, cannot resist any longer — it filed to go public this week.

By the numbers: There were 28 IPOs in June, which raised $13.5 billion in total. On average second-quarter IPOs rose 38% on their first day of trading. And the Renaissance IPO Index rose an astonishing 54% over the course of the quarter.

  • Blank-check companies, or SPACs, also had a record quarter. (They're the companies that raise a lot of money by going public, without any idea of what industry they're in; later, they'll use the money to buy a company.) Twenty-four SPACs raised $7.2 billion in the second quarter, with Bill Ackman's $3 billion Pershing Square Tontine Holdings yet to come.
  • Eight previously-existing SPACs became proper companies, including Draft Kings (now worth $11 billion) and Nikola, an early-stage electric-truck company that the stock market values at $20 billion.

Uber didn't IPO again, but it did manage to issue 84 million new shares in order to acquire rival money-losing food-delivery service Postmates — and was rewarded for doing so by seeing its share price go up. That's despite the fact that key terms of the deal still haven't been disclosed.

The bottom line: Even Softbank, the butt of a million jokes and the controlling shareholder in the disaster that is WeWork, is trading at its highest level in 20 years. With valuations like these, expect more companies to start taking advantage of their share price to raise new equity or fund ambitious takeover bids.

Go deeper: Airbnb revives internal IPO conversations

Go deeper

What banks' booming profits say about the economy

Illustration: Sarah Grillo/Axios

Some of America's biggest banks are making more money now than they were before the pandemic hit.

Why it matters: Quarterly earnings out this week hint that the worst economic scenarios haven't yet come to pass. Still, executives are warning there could be a rocky road ahead for the economy.

2 hours ago - World

Special report: Trump's U.S.-China transformation

Illustration: Aïda Amer/Axios

President Trump began his term by launching the trade war with China he had promised on the campaign trail. By mid-2020, however, Trump was no longer the public face of China policy-making as he became increasingly consumed with domestic troubles, giving his top aides carte blanche to pursue a cascade of tough-on-China policies.

Why it matters: Trump alone did not reshape the China relationship. But his trade war shattered global norms, paving the way for administration officials to pursue policies that just a few years earlier would have been unthinkable.

McConnell: Trump "provoked" Capitol mob

Senate Majority Leader Mitch McConnell (R-Ky.) said on Tuesday that the pro-Trump mob that stormed the U.S. Capitol on Jan. 6 was "provoked by the president and other powerful people."

Why it matters: Trump was impeached by the House last week for "incitement of insurrection." McConnell has not said how he will vote in Trump's coming Senate impeachment trial, but sources told Axios' Mike Allen that the chances of him voting to convict are higher than 50%.