News

Musk raises $5 billion for xAI amid political shift

Elon Musk seeks $5 billion for xAI Corp. after shifting focus from politics to ramping up AI investments.

Published

5 months ago

June 3, 2025

Ahron Young

Elon Musk seeks $5 billion for xAI Corp. after shifting focus from politics to ramping up AI investments.

In Short:
Elon Musk is raising $5 billion in debt for his AI startup, xAI Corp, to expand infrastructure, particularly a major data centre in Memphis. This funding move follows his exit from political involvement and comes with strong investor interest, evidenced by already surpassing $3.5 billion in demand.

Elon Musk is raising $5 billion in debt for his artificial intelligence startup, xAI Corp. This move comes after he announced his departure from political involvement.

Morgan Stanley is managing the debt sale, which features a double-digit interest rate. The funds will support Musk’s expansion of AI infrastructure, particularly a significant data centre in Memphis.

Musk’s shift away from politics follows his role as an adviser to President Donald Trump during the 2024 election, where he was a prominent backer.

Debt demand

The debt offering includes a floating-rate term loan, a fixed-rate term loan, and senior secured notes, with expected commitments by June 17. Early pricing suggests a floating-rate loan at 7 percentage points over the benchmark and around a 12% yield on the senior notes. Demand for the debt has already surpassed $3.5 billion.

Musk’s political presence received criticism, coinciding with a 20% decline in Tesla’s stock since the new administration took office. Additionally, he has raised $650 million for Neuralink and is selling $300 million in xAI stock.

Musk has merged xAI with his platform X into XAI Holdings and is significantly investing in the Memphis data centre dubbed Colossus. According to past reports, he has been in discussions to secure around $20 billion in funding, reflecting strong investor interest in artificial intelligence.

News

Gold plunges 5% in biggest drop since 2013

Gold prices plummet over 5%, raising global market concerns as investors react, says Chris Weston from Pepperstone.

Published

18 hours ago

October 22, 2025

ticker NEWS

Gold prices plummet over 5%, raising global market concerns as investors react, says Chris Weston from Pepperstone.

Gold prices have crashed over 5% in a single day, sparking concerns across global markets and sending investors scrambling.

Chris Weston from Pepperstone breaks down the causes and implications.

#Gold #Markets #Investing #Commodities #GoldCrash #PreciousMetals #ASX #GlobalMarkets #Finance #Trading

News

Trump and Xi set for high-stakes APEC showdown

Trump and Xi to meet at APEC, seeking to ease trade tensions and revive dialogue amid tariff threats.

Published

19 hours ago

October 22, 2025

ticker NEWS

Trump and Xi to meet at APEC, seeking to ease trade tensions and revive dialogue amid tariff threats.

President Trump and President Xi Jinping will meet for the first time in six years at the APEC summit, aiming to ease trade tensions and revive dialogue amid tariff threats.

#Trump #XiJinping #APEC #Trade #China #USPolitics #Economy #Tariffs #AsiaPacific #GlobalSummit

News

Trump to meet Xi at APEC amid trade tensions

Trump to meet Xi at APEC summit as trade tensions escalate and tariffs loom

Published

1 day ago

October 21, 2025

Ahron Young

Trump to meet Xi at APEC summit as trade tensions escalate and tariffs loom

In Short:
– Trump will meet Xi Jinping at the APEC summit in South Korea later this month amid trade tensions.
– China has reshuffled its trade team, appointing Li Yongjie as the new WTO representative.

President Donald Trump confirmed he will meet Chinese President Xi Jinping at the Asia-Pacific Economic Cooperation summit later this month in South Korea.

It marks their first face-to-face encounter in six years amid ongoing trade tensions.Trump expressed hope about achieving a “fantastic deal,” despite escalating disputes. He is prepared to impose significant tariffs on Chinese imports if no agreement is reached. Current U.S. tariffs on Chinese goods average 55%, with a potential increase to 155% looming.

Trump mentioned that he believes an excellent trade deal would benefit the U.S., China and the global economy. He acknowledged the importance of the negotiations, stating that China respects the U.S. but is always seeking advantages in trade.

China’s Trade Reshuffle

China has reshuffled its trade negotiation team. Li Chenggang has been removed from his position as the representative to the World Trade Organization, while retaining his role as vice minister of commerce. This change aligns with Beijing’s strategy to adjust its trade diplomacy amid tensions.

Li Yongjie has been appointed as the new WTO representative. This team transition comes after scrutiny from U.S. officials and reflects China’s commitment to recalibrating its approach within the ongoing trade discussions.

The upcoming APEC summit will gather leaders from 21 economies, representing a significant portion of global GDP. It serves as a pivotal platform for dialogue, despite the backdrop of intensified trade negotiations.