SpaceX retail buying hits record high on IPO day, Citadel Securities says retail investors are driving US stock rebound

```

According to data from Citadel Securities, on the day of the SpaceX IPO, retail investors poured into the U.S. stock market at a record pace and are increasingly becoming a core force driving broader market gains.

According to Bloomberg, SpaceX's listing on June 12 coincided with a record single-day net purchase amount by individual investors. Citadel Securities, which handles about 35% of all U.S. retail trading in listed stocks, compiled data showing that retail trading activity in both the stock and options markets surged to unprecedented levels.

“Retail participation on Friday reached astronomical numbers,” said Scott Rubner, Head of Equities and Equity Derivatives Strategy at Citadel Securities. He added that on Tuesday (the first day SpaceX options contracts were listed for trading), the stock options market also saw strong demand.

However, SpaceX shares closed down 4.95% on Wednesday, ending a previous three-day winning streak.

This record-breaking trading activity highlights that retail investors are playing an increasingly core role in driving both individual stock moves and broader market trends. Following a strong rebound in recent weeks, the U.S. stock market is once again approaching record highs.

A report released by Citadel Securities on Wednesday showed that the trading volume of spot stocks by individual investors in May hit a record high, more than 10% above the previous monthly record set during the “meme stock” frenzy in January 2021. Moreover, June 12 set the highest single-day net buying volume by retail investors since Citadel Securities began tracking the data, shattering the previous record by 58%.

Despite the record trading activity, the retail crowd still holds plenty of “ammunition” (idle funds). Citadel Securities pointed out that the ownership rate of individual investors continues to expand, with the fastest-growing segment being families who historically had the lowest market participation.

Retail Investors “Moving From Meme Stocks to Semiconductors," Becoming More Mature Investors

Citadel Securities’ data also indicates that the nature of retail investing behavior has fundamentally evolved over the years. Previous waves of retail enthusiasm focused on the most speculative corners of the market, but today, more individual investors are gathering in many heavyweight stocks favored by institutions and benchmark indices. Rubner said:

“What’s really interesting is that now retail investors, U.S. corporations, ETFs, and institutional investors are all making the same trades. Retail investors today are quite sophisticated. They’re no longer blindly buying meme stocks— they’ve grown up.”

Semiconductor companies have become one of the most obvious beneficiaries of this shift.

Citadel Securities’ data shows that in May, the average daily options premium traded on chip stocks soared to a record $1.6 billion, more than double April’s figure and nearly five times the historical average. This activity accelerated further in June, with average daily options premiums reaching about $1.9 billion, 16% higher than the May record.

The rise in retail participation comes as the stock market enters a seasonally favorable period. Rubner noted that historically, July has been one of the strongest months for U.S. stocks each year, thanks to new capital inflows, portfolio rebalancing, and reinvestment by major market players after the quarter-end.

Risk Reminder and DisclaimerThe market carries risk, and investing requires caution. This article does not constitute individual investment advice, nor does it consider any user’s specific investment objectives, financial situation, or needs. Users should consider whether any opinions, views, or conclusions in this article apply to their particular circumstances. Any investment decisions made accordingly are at your own risk. ```