Here's a quick overview of today's main events:

  • AbbVie is acquiring Apogee Therapeutics for $10.9 billion

  • CRH is acquiring the construction company Arcosa for $150 per share

  • SpaceX has signed a contract with Reflection AI for $6.3 billion

  • SpaceX bonds attracted $89 billion in demand

  • AMC Entertainment is raising capital by $200 million

  • Technology stocks plummeted due to a sell-off of chip stocks

    Bank of America expects three Fed rate hikes this year

    Foreign Investments

    The pharmaceutical company AbbVie announced the acquisition of the biotechnology company Apogee Therapeutics for $10.9 billion. Apogee's shares jumped nearly 47% on the news. The transaction strengthens AbbVie's position in the field of immunological drugs and fits into the company's long-term strategy of finding replacements for declining revenues from the Humira drug, whose patent protection has already expired.

    The construction and materials group CRH has agreed to acquire the American infrastructure company Arcosa in an all-stock transaction with an implied value of $150 per share, after which Arcosa's shares rose by seven percent. The acquisition expands CRH's presence in the construction materials and infrastructure projects segment in the United States, where demand is growing thanks to government investments in transportation and energy infrastructure.

    The rocket and space company SpaceX has signed a contract for the supply of infrastructure for artificial intelligence with the newly established laboratory Reflection AI for $6.3 billion. The company also launched a bond issue of $20 billion, which attracted enormous interest from investors - demand reached $89 billion, more than four times the offered amount. The proceeds are to be used to refinance bridge loans associated with the recent $60 billion acquisition of the startup Cursor, which focuses on developer tools with artificial intelligence.

    AMC Entertainment announced a capital increase through the sale of more than 95 million shares to institutional investors, aiming to raise approximately $200 million to reduce debt. The transaction is scheduled to close on June 24, and the company's shares reacted to the news with a drop of nearly a quarter.

    Significant Events with Global Impact

    Global markets were hit by a sharp sell-off in the technology sector in the second half of the week. The wave began in Asia, where the South Korean KOSPI index fell by nearly ten percent due to concerns about overheating in the memory chip sector, and then spread to US stock exchanges, where shares of memory manufacturers and related companies fell. The Nasdaq Composite index fell by more than two percent. Today, investors are focusing on the results of the memory manufacturer Micron Technology, whose quarterly performance will be considered a key test of confidence in the ongoing investment boom around artificial intelligence.

    The changing outlook of the U.S. central bank is also contributing to nervousness in the markets. Analysts at Bank of America have revised their forecast and now expect the Federal Reserve to raise interest rates three times this year by a quarter of a percentage point, bringing the base rate to 4.25 to 4.5 percent. The reason for this is persistent inflation, which the bank has identified as the main theme of the second half of the year, while companies across various sectors continue to issue massive amounts of stocks and bonds to finance investments in artificial intelligence.

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