9AM Hour: Amazon Plans $25B Bond Sale, Chips Slide Despite Samsung's Blowout Quarter, Bullish Calls on SpaceX 7/7/26

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Jim Cramer (1:00)

It's Jim Cramer here. You're listening to the opening bell of CNBC Squawk on the Street. Don't miss a minute of the action.

Carl Quintanilla (1:07)

Good Tuesday morning. Welcome to Squawk on the Street. I'm Carl Quintanilla with Jim Cramer, David Faber at Post 9 of the New York Stock Exchange. Pre-market weighed down a little bit by some tech weakness and some follow-through from South Korea's near 5 percent drop overnight, despite Samsung's monster quarter. SpaceX enters the NDX, gets a bunch of new coverage today. Oil is a little higher. The IRGC does fire on two commercial tankers in the Strait of Hormuz, and crossings there drop to about a one-month low.

Our roadmap begins with Samsung though, spooking the tech sector, posting record figures for the quarter. Still not enough to meet some lofty AI projections.

David Faber (1:42)

Plus, Amazon is raising at least $25 billion from the sale of bonds. That, of course, to help boost all that spending it's doing for its AI build-out.

And we're getting the Street's take on SpaceX. Multiple firms initiating coverage on the company. It is set to begin its first day of trading, that is, the stock on the MDX.

Carl Quintanilla (2:03)

That'll lead us with tech today. Semis are taking a bit of a hit despite Samsung's quarter, but David is following this Amazon bond deal today. Atranches?

David Faber (2:11)

Yeah, Atranches, $25 billion. You know, I think what's interesting about this, and we talk about it all the time. In fact, yesterday we had this conversation, Jim, about will you ever run out of capital? Will you be able to fund this AI build out? And the answer so far is no. And I think our viewers may be tired of me talking about how stunned I am when I just continually hear these numbers, but you know, I go back, we go back to the time when the telecom companies, when Verizon and AT&T were habitually the largest issuers because they had the largest CapEx budgets. Now we're talking about a company that has a $200 billion target for CapEx this year. It has already issued $54 billion in debt. That was back in March.

Following it with another $25 billion, guys. And as Carl said, different tranches up to as much as 40 years. One piece of news I can share here that Amazon, I am told, has shared with its underwriters is they're done for the year.

They will not issue any more debt this year.

Jim Cramer (3:11)

Any comment?

David Faber (3:12)

And that's important. No, no, no. Debt. I just said debt. I have no idea. No idea and that it was not part of the conversation I had as to whether there is any chance of them issuing equity a la as we saw Alphabet do not that long ago. And as we continue to wonder whether some of the other hyperscalers might actually consider. But when it comes to Amazon issuing debt, and this is helpful when you're trying to sell the bonds, guys, to sell the customer, they're not going to issue anymore. This year, doesn't mean they're not going to issue next year.

And as you, as the customer try to understand, well, what is the quantum of debt that I'm comfortable with them having outstanding? What do I believe my own exposure should be to Amazon and on from there? So just another reflection of what is at this point still, Carl and Jim, just an insatiable need for capital and the willingness of investors to step up in a $9 trillion investment-grade bond market.