Intel rally boosts Trump’s stake in company by $4.9 billion, reigniting allegations of insider trading
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Intel shares blew through the roof Thursday after Nvidia dropped $5 billion into the struggling chipmaker, handing Donald Trump a fresh $4.9 billion paper gain tied to a government stake he pushed through weeks earlier. The rally, which is by the way Intel’s biggest one-day surge in nearly 40 years, shot the stock to $31.79 and instantly spiked the value of Washington’s equity from $9 billion to around $14 billion. As Cryptopolitan reported, that deal was quietly sealed in August when Trump authorized the purchase of 433.3 million shares at $20.47 a piece. Intel confirmed that 274.6 million of those shares were handed over to the Department of Commerce. The remaining 158.7 million is being held in escrow and will be unlocked in stages as the government makes payments to Intel under the Chips Act. At press time, Intel shares were still trading high at $30.79, up 24% on the day. Trump’s fingerprints were all over the setup, and now the move is drawing fire from across the aisle. What started as a government-backed investment in a legacy tech firm has turned into a national debate about who controls what, and why the leader of the free world is dabbling in billion-dollar equity deals with private firms. Trump pushes deal-making further with defense firms in the crosshairs Commerce Secretary Howard Lutnick had told CNBC on air that the Pentagon is now actively considering buying equity in America’s largest defense contractors. The remarks came just days after Trump signed off on the Intel purchase. When asked whether Trump would use the same playbook with other firms, Howard responded, “Oh, there’s a monstrous discussion about defense.” Howard said companies like Lockheed Martin, which gets most of its revenue from federal contracts, are “basically an arm of the U.S. government.” He said decisions…
