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'There's nothing novel' about Trump's deal with Nvidia and AMD, Jim Cramer says

1. AMD and Nvidia agreed to pay 15% on China sales to the U.S. government. 2. This deal grants licenses for chip sales previously restricted in China. 3. Cramer suggests the move benefits taxpayers and the companies involved. 4. Economic policies are shifting under the Trump administration, impacting chip manufacturers. 5. Cramer recalls historical government interventions yielding profits for stakeholders.

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FAQ

Why Bullish?

The agreement allows AMD to access a major market, enhancing revenue potential. Historical examples show government involvement often stabilizes or boosts company prospects.

How important is it?

The deal directly impacts AMD's revenue from a critical market, enhancing attractiveness to investors. Government involvement can signal market confidence or risk, affecting pricing and demand.

Why Short Term?

The immediate effect includes increased access to the Chinese market. Longer-term implications depend on geopolitical stability and market responses.

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