Oracle's stock surges 8.51% after Trump announces $500B AI initiative, solidifying its role as a key AI provider. CEO Ellison's stake also rises.
Global stocks steadied on Thursday, as a rally fueled by President Donald Trump's spending plans for artificial intelligence infrastructure fizzled and caution set in over what the new U.S. president's next moves on trade might be.
Oracle's shares jumped nearly 9% before the bell on Wednesday after U.S. President Donald Trump said the company would make a large investment in artificial intelligence infrastructure, alongside OpenAI and SoftBank .
President Donald Trump announced the $500 billion Stargate Project in Texas to advance AI research, starting with a data center in Abilene.
Oracle (ORCL) witnessed a jump in share price last session on above-average trading volume. The latest trend in earnings estimate revisions for the stock doesn't suggest further strength down the road.
Shares of insurance industry-focused software maker Guidewire (NYSE:GWRE) jumped 9.7% in the afternoon session after Goldman Sachs analyst Adam Hotchkiss initiated coverage of the stock with a Buy rating and a $210 price target.
The Treasury Department had to dole out the highest yield since 2009 to sell billions in inflation-protected securities. This afternoon it sold $20 billion worth of 10-year Treasury inflation protected securities,
In addition to Trump, you can guarantee that virtually every tech company will mention AI revenue and spending. According to Jefferies analyst Brent Thill, Microsoft should report improved AI consumption and continued spending, something investors have been hoping for as the company works to meet customer demand for AI infrastructure.
Investor appetite for tech names was also whetted by President Donald Trump's unveiling of a new $500 billion private-sector AI infrastructure investment plan backed by groups like software firm Oracle (NYSE: ORCL ), ChatGPT-maker OpenAI, and Japanese conglomerate SoftBank (TYO: 9984) -- although questions swirled around funding for the project.