1 00:00:02,520 --> 00:00:07,360 Speaker 1: Bloomberg Audio Studios, podcasts, radio news. 2 00:00:08,560 --> 00:00:12,440 Speaker 2: The Stock Movers Report, your roundup of companies making moves 3 00:00:12,480 --> 00:00:15,880 Speaker 2: in the stock market harnessing the power of Bloomberg Data. 4 00:00:16,520 --> 00:00:18,479 Speaker 3: Let's take a look at some stocks on the move today. 5 00:00:18,520 --> 00:00:21,520 Speaker 3: I'm Nathan Hager, joined by Bloomberg's Valerie Titel on a 6 00:00:21,560 --> 00:00:23,800 Speaker 3: morning that has turned out to be very busy on 7 00:00:23,840 --> 00:00:26,799 Speaker 3: the deal front in more ways than one. A huge 8 00:00:26,840 --> 00:00:30,680 Speaker 3: deal just announced that has shares of Advanced micro Devices 9 00:00:31,080 --> 00:00:33,360 Speaker 3: soaring this morning. Valerie, good morning. 10 00:00:33,320 --> 00:00:37,599 Speaker 1: Good morning, Nathan, Yes, absolutely soaring. Shares of AMD are 11 00:00:37,680 --> 00:00:41,400 Speaker 1: up almost twenty five percent in the pre market trade. 12 00:00:41,400 --> 00:00:44,800 Speaker 1: This comes after open ai has signed a deal with 13 00:00:44,880 --> 00:00:49,000 Speaker 1: AMD worth tens of billions of dollars worth of chips 14 00:00:49,080 --> 00:00:51,440 Speaker 1: as part of a bigger deal that could also see 15 00:00:51,479 --> 00:00:54,680 Speaker 1: open Ai take roughly a ten percent stake in the 16 00:00:54,760 --> 00:00:58,480 Speaker 1: chip maker overtime. Now, AMD has given open Ai a 17 00:00:58,520 --> 00:01:01,080 Speaker 1: warrant for up to one hundred and six million shares, 18 00:01:01,120 --> 00:01:04,720 Speaker 1: which will vest as milestones are achieved, but open Ai 19 00:01:05,240 --> 00:01:08,800 Speaker 1: agreeing to purchase processors with a total power consumption of 20 00:01:08,920 --> 00:01:14,440 Speaker 1: six gigawatts. Nathan, that's roughly equivalent to Singapore's average power demand. 21 00:01:14,560 --> 00:01:17,160 Speaker 1: Now The companies did not put a total figure on 22 00:01:17,240 --> 00:01:20,039 Speaker 1: the transaction, but the back of the envelope calculation is 23 00:01:20,040 --> 00:01:23,000 Speaker 1: at least tens of billions of dollars. So for AMD, 24 00:01:23,200 --> 00:01:26,720 Speaker 1: this deal keeps its technology really in the mix with 25 00:01:26,800 --> 00:01:29,840 Speaker 1: open Ai and other owners of large scale data centers. 26 00:01:30,160 --> 00:01:33,440 Speaker 1: The chip maker remains a distant second to Navidia in 27 00:01:33,520 --> 00:01:37,480 Speaker 1: the market share for so called accelerator chips. We also 28 00:01:37,520 --> 00:01:40,240 Speaker 1: know that Intel is very involved in that market as well, 29 00:01:40,280 --> 00:01:42,840 Speaker 1: so we're seeing the likes of Navidia decline off the 30 00:01:42,840 --> 00:01:45,440 Speaker 1: back of this down five tens of a percent, Intel 31 00:01:45,520 --> 00:01:47,120 Speaker 1: down one point six percent. 32 00:01:47,120 --> 00:01:50,000 Speaker 3: A huge move for AMD. This morning, we have some 33 00:01:50,440 --> 00:01:55,040 Speaker 3: more traditional deal news on this merger Monday that's got 34 00:01:55,400 --> 00:01:57,320 Speaker 3: Comerica up this morning as well. 35 00:01:57,680 --> 00:01:59,600 Speaker 4: Yeah, M and A in the banking sector. 36 00:01:59,680 --> 00:02:02,800 Speaker 1: Fifth Third is to buy Comerica for eighty two dollars 37 00:02:02,800 --> 00:02:05,440 Speaker 1: and eighty eight cents a share. We're seeing the price 38 00:02:05,480 --> 00:02:09,519 Speaker 1: of Comerica jump by seven percent fifth Third falling by 39 00:02:09,600 --> 00:02:12,760 Speaker 1: six percent so far in pre market trade. This is 40 00:02:12,760 --> 00:02:16,080 Speaker 1: an all stock M and A deal valuing co America 41 00:02:16,120 --> 00:02:19,120 Speaker 1: at ten point nine billion dollars and will create the 42 00:02:19,240 --> 00:02:23,440 Speaker 1: ninth biggest US bank with about three hundred billion dollars 43 00:02:23,480 --> 00:02:26,560 Speaker 1: in assets. The deal is the latest sign that regional 44 00:02:26,600 --> 00:02:29,720 Speaker 1: banks across the US are looking to take advantage of 45 00:02:29,800 --> 00:02:34,480 Speaker 1: the new looser regulatory environment under President Trump, who's ushered 46 00:02:34,520 --> 00:02:38,360 Speaker 1: in an era of financial deregulation, leading many bankers to 47 00:02:38,440 --> 00:02:42,920 Speaker 1: expect his administration to go easier on mortgage sorry, merger 48 00:02:42,960 --> 00:02:44,359 Speaker 1: approvals in. 49 00:02:44,320 --> 00:02:46,639 Speaker 4: The industry, especially the banking industry. 50 00:02:46,880 --> 00:02:50,520 Speaker 3: Now we've got more word that the US government may 51 00:02:50,520 --> 00:02:52,680 Speaker 3: be looking to make some of its own deals. 52 00:02:52,880 --> 00:02:56,120 Speaker 1: Yeah, Critical Minerals is up sixty nine percent in pre 53 00:02:56,200 --> 00:02:58,960 Speaker 1: market trade. The stock is surging on a potential stake 54 00:02:59,040 --> 00:03:02,560 Speaker 1: in the company the US government. This was a story 55 00:03:02,600 --> 00:03:06,160 Speaker 1: reported by Reuters, saying that the Trump administration has discussed 56 00:03:06,160 --> 00:03:09,840 Speaker 1: converting a government grant into an eight percent stake in 57 00:03:09,880 --> 00:03:13,200 Speaker 1: the rare Metals Minor. If this deal is finalized, it 58 00:03:13,240 --> 00:03:16,359 Speaker 1: would give the US government direct interests in the largest 59 00:03:16,520 --> 00:03:19,919 Speaker 1: rare earth project in Greenland. Similar moves have been made 60 00:03:20,080 --> 00:03:23,840 Speaker 1: recently with the US government and loans and chip grants, such. 61 00:03:23,639 --> 00:03:24,880 Speaker 4: As the likes of Intel. 62 00:03:25,200 --> 00:03:28,320 Speaker 1: That's how they converted their equity stake, sorry, their loan 63 00:03:28,400 --> 00:03:30,960 Speaker 1: into an equity steak as well. 64 00:03:31,040 --> 00:03:35,080 Speaker 2: The stock Moover's report from Bloomberg Radio. Check back with 65 00:03:35,160 --> 00:03:37,720 Speaker 2: us throughout the day for the latest roundup of companies 66 00:03:37,800 --> 00:03:40,920 Speaker 2: making news on Wall Street, and for the latest market 67 00:03:40,920 --> 00:03:45,400 Speaker 2: moving headlines. Listen to Bloomberg Radio Live, catch us on YouTube, 68 00:03:45,480 --> 00:03:49,000 Speaker 2: Bloomberg dot com, and on Applecarplay and Android Auto with 69 00:03:49,080 --> 00:03:50,560 Speaker 2: the Bloomberg Business app.