Inside Yahoo Finance Invest 2025: AI stock bubble, Trump tariff realities, a Fed under siege, and another crypto boom

There have been a lot of special moments in the markets this year.

The first Fed rate cut in more than a year is one of them. Since that September cut, investors have sent stocks and cryptocurrencies ripping to new highs, while gold prices have passed $4,000 an ounce. Think full-on market melt-up!

April’s “Liberation Day” stock market massacre is not to be forgotten, though the Trump administration has since dialed back some of the more eye-popping tariffs on key trading partners, at least for now.

Then there was Oracle’s (ORCL) mind-blowing guidance a couple of weeks back. Talk about a reminder to the world that 1) Oracle’s billionaire founder, Larry Ellison, is a major player in the future of AI and 2) the AI buildout is having far-reaching financial implications for giant tech companies.

Meanwhile, the US government has taken a stake in the embattled chip player Intel (INTC) — and so has Nvidia (NVDA). Tesla (TSLA) CEO Elon Musk snagged a proposed $1 trillion pay package. All this surely wasn’t on my bingo card coming into 2025. Meanwhile, money-losing OpenAI (OPAI.PVT) has inked $1 trillion in deals this year for computing power.

I think the deal between OpenAI and AMD (AMD) last week is another one of these special market moments.

The tie-up will result in AMD adding billions of dollars in sales from OpenAI over the next few years as it buys up its latest AI chips. OpenAI may also eventually own 10% of AMD, a decision AMD CEO Lisa Su told me she didn’t take lightly.

Why is this deal special?

First, it crushes the AI bears who have loved saying we are near the peak of the AI infrastructure build-out and have questioned if future demand will warrant all the investment.

“I would say that’s probably thinking too small,” Su told me about concerns of AI overspending. “You have to really look at what the power of this technology can do for the world.”

AMD is “investing at the right pace because we want to accelerate,” Su said. “This is a place where, when companies and partners make bold moves, it will be rewarded.”

Second, AI deals like this are supporting the broader market. They are signaling to investors that AI will help unlock real earnings power and justify higher valuations for stocks. Just check out Dell (DELL) last week: It lifted its long-term revenue growth outlook to 7% to 9% from 3% to 4% due to its bullish view on AI.

Against this backdrop, enter Invest, Yahoo Finance’s annual marquee event for a passionate global investing community.