Why Nvidia, Microsoft, Oracle, Arm and other AI stocks are rising on Wednesday.

• Shares of AI-related companies rose on Wednesday after President Trump announced a $500 billion joint venture with Oracle, OpenAI and SoftBank to build AI infrastructure in the US.

• As key technology partners for the initiative, Nvidia, Microsoft, and ARM have seen their shares soar.

• Analysts at Wedbush believe the project could represent “the beginning of massive AI investments”, with further announcements expected in the coming weeks.
  

Trump’s administration with A.I. Shares of related companies rose on Wednesday 500 billion dollar joint venture with Oracle (ORCL), OpenAI and SoftBank spurred optimism about rising AI investments.

For Oracle, the project could represent a big revenue opportunity starting this year, Morgan Stanley analysts told clients Wednesday, as part of the companies’ first $100 billion investment appears tied for Oracle data centers in Abilene, Texas.

The project, known as Stargate, also “read positively” for Microsoft.MSFT) for OpenAI as a supporter and partner for the initiative, analysts said.

Oracle shares jumped nearly 8% in intraday trading on Wednesday, extending Tuesday’s gains before the announcement, while Microsoft shares rose nearly 4%.

As key technology partners for the initiative, Nvidia (NVDA) and Arm Holdings (ARM) were also among the companies that saw their shares pop, with ARM shares up 15 percent, and Nvidia up 5 percent.

Shares of several NVIDIA partners, including Dell, and other companies in the AI ​​chipmaker ecosystemDELL), TSMC (TSM), and Hewlett Packard Enterprise (HPE), also gained.

Analysts at Wedbush believe the project “could represent the beginning of massive AI investments in the US,” with more announcements expected in the coming weeks.

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