Intel’s U.S. Capex Boom Carries A Hidden Cyclical Risk (Rating Downgrade) (NASDAQ:INTC)

Core Insights - U.S. industrial policy is driving a significant wave of domestic capital expenditures (capex), particularly in the semiconductor and AI infrastructure sectors [1] - The increase in capex is contributing to a noticeable boost in U.S. economic activity and GDP, influenced by tariffs, subsidies, and national-security priorities [1] Group 1 - The current capex wave is one of the largest seen in decades, primarily fueled by advancements in semiconductors and AI [1] - Tariffs and subsidies are playing a crucial role in encouraging factory construction and equipment spending across the U.S. [1] - National-security priorities are also influencing investment decisions, further enhancing the domestic industrial landscape [1]