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President Trump has posted a new announcement on Truth Social, the social media platform. He wrote:
“It is my Great Honor to report that the United States of America now fully owns and controls 10% of INTEL, a Great American Company that has an even more incredible future. I negotiated this Deal with Lip-Bu Tan, the Highly Respected Chief Executive Officer of the Company. The United States paid nothing for these Shares, and the Shares are now valued at approximately $11 Billion Dollars. This is a great Deal for America and, also, a great Deal for INTEL. Building leading edge Semiconductors and Chips, which is what INTEL does, is fundamental to the future of our Nation. MAKE AMERICA GREAT AGAIN! Thank you for your attention to this matter.”
How Will Trump’s Statement Affect the Stock Market?
This latest post has the potential to affect the stock market. That’s because Donald Trump’s announcement that the U.S. government now owns 10% of Intel could lead to increased investor confidence in Intel, potentially boosting its stock price due to perceived government backing and future growth prospects. This news may also positively impact related technology ETFs like Invesco QQQ Trust, Technology Select Sector SPDR Fund, and Vanguard Information Technology ETF, as Intel is a significant component of these funds. However, the broader market reaction will depend on investor sentiment regarding government involvement in private companies and the strategic implications for the tech sector.
Here are some of the stocks that might be affected:
Intel ((INTC)),
Invesco QQQ Trust ((QQQ)),
Technology Select Sector SPDR Fund ((XLK)),
Vanguard Information Technology ETF ((VGT)).