Micron Surges on $10 Billion AI Research Push Amid Market Volatility
US stock futures pointed to a lower open on Thursday, as the momentum from a Treasury Department bond-buying announcement faded. The S&P 500 snapped a three-day losing streak on Wednesday but closed well off its session highs, suggesting investors are still grappling with the implications of a $40 trillion national deficit.
Micron Technology, a recent addition to Jim Cramer's Charitable Trust, announced it is investing $10 billion in Micron Research Labs, a facility dedicated to pursuing new technology breakthroughs. The company aims to solidify its position in artificial intelligence and has seen strong growth in the sector.
Wall Street analysts were split on Merck following Wednesday's explosive rally, with RBC Capital Markets downgrading the stock to hold from buy, citing that the risk/reward profile is now fairly valued after the run-up. Morgan Stanley, however, upgraded the stock to buy from hold, citing confidence in Merck's ability to navigate the looming patent cliff for its blockbuster cancer drug Keytruda.
Walmart shares dropped roughly 6.5% after reporting second-quarter same-store sales growth of 2.6%, which fell short of expectations, and issued light earnings guidance for the current period. However, CFO John David Rainey highlighted a notable tailwind: the company is using tariff refunds to keep prices low for consumers.