Trump administration's stock portfolio now spans more than 40 companies

what happened

The Trump administration is taking stakes in private companies at a record pace, the Wall Street Journal reports, citing the Council on Foreign Relations. Since the start of Trump's second term, the government has announced 43 deals involving shares or warrants that could later convert into equity. The total spending is estimated at about $30 billion.

The biggest holding is an $8.9 billion investment in Intel. Its market value reached as high as $61 billion on a monthslong rally, but after a sharp selloff in recent weeks it fell to roughly $41 billion. The government has at least 16 deals in metals, critical minerals and natural resources, including a $2.15 billion investment in Korea Zinc, and stakes in nine quantum computing companies, among them a $1 billion commitment to IBM.

why it matters

For markets, the government is becoming a major shareholder in companies across chips, critical minerals and quantum technology. Share prices of these firms now depend partly on Washington's decisions, not only on industry demand, which makes them more sensitive to policy.

market impact

Intel and chipmakers: the government stake supports investor confidence, but shares still follow market swings

• ↔Intel mixed — the government stake supports confidence, while the recent selloff pressures the position's value

tags

instruments