GlobalFoundries (GFS) stock is rising after the chip designer received a $1.5 billion subsidy from President Biden's CHIPS Act. The company is known as the largest semiconductor manufacturing foundry in the state.
Yahoo Finance's Madison Mills reports live from the New York Stock Exchange, taking a closer look at stock prices and the future impact of CHIPS Act funding on other chip manufacturers like Intel (INTC).
For more expert insights and the latest market trends, click here to watch the full episode of Yahoo Finance Live.
Editor's note: This article was written by Ike Ntekim
video transcript
Sheena Smith: It's time to pay attention to today's stock prices. That's GlobalFoundries stock rising here, up about 5% after receiving a $1.5 billion grant from the Biden administration. Madison Mills is on the floor of the New York Stock Exchange. Update on that move, Maddy.
Madison Mills: Yes, Sheena, that's the name of the latest beneficiary of the Biden administration's CHIPS Act. He has given more than $50 billion to companies whose administration is trying to make chips in the United States. And that's exactly the reason for her GFS. This is the ticker symbol associated with GlobalFoundries, and once again he was selected to raise $1.5 billion worth of funding.
That's why we're seeing a lot of upward movement in this name this morning. That said, we're not just focused on GlobalFoundries. By the way, GlobalFoundries is also known for being the largest foundry in the United States in terms of chip production. That's why they were selected for this funding.
But we're also keeping an eye on Intel's stock price following news this morning that it could be the next company selected by the Biden administration for CHIPS Act funding. According to a report from Bloomberg News. The big question here is which companies investors can watch going forward to see if they receive funding from the Biden administration.
Because we tend to see that once the CHIPS Act goes into effect, so will the market. That's exactly why GlobalFoundries is up over 5% today on news of this funding.
Brad Smith: Okay, Maddie. thanks so much. I plan to check in again closer to the opening bell.
