Semiconductor stocks are engaging in circular deals, where funds flow back and forth between parties. Nvidia’s partnerships with OpenAI and CoreWeave are examples of these circular deals, with investments and collaborations benefiting both parties. While some short-term concerns exist, such as potential influence on investments, overall, these deals are not considered troublesome yet. Investors are advised to monitor these developments closely for any future implications.

Read more at Morningstar: What Are Circular AI Chip Deals, and Should Investors Be Worried?