Iggy Azalea -- Rockin' Her Rock Again (PHOTOS)

Iggy Azalea wants to make it crystal clear ... Nick Young is almost completely out of the dog house.

The rapper was spotted in Beverly Hills Friday with the gigantic diamond on her ring finger ... a clear indication Young's got some sunny skies ahead.

It's not the first time Iggy's indicated the two are back on good terms ... we spoke to her at LAX Thursday and she said she one of the reasons she's been sans-ring lately was because it just didn't match her get-up.

Looks like Friday was the perfect fit.