Tariffs and the Chips Rally, Apple Extends Gains, Trump: Intel CEO Should Resign 8/7/25

SPEAKER_1 (0:01)

When work gets crazy, I like to stop by the bar after, have a few cold ones.

SPEAKER_2 (0:05)

I don't drink at all until four o'clock.

SPEAKER_3 (0:09)

We limit ourselves to one bottle of wine a night.

SPEAKER_4 (0:12)

Excessive drinking has a way of sneaking up on us. A few drinks, a few nights a week, it can add up, and suddenly, we're at greater risk for long-term problems like heart disease, cancer, and depression. Reason enough to rethink the drink. More at rethinkthedrink.com.

SPEAKER_3 (0:30)

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Carl Quintanilla (1:00)

Market Moving Insight and Analysis join Jim Cramer, David Faber and me, Carl Quintanilla, on the opening bell hour of CNBC Squawk on the Street. Good Thursday morning. Welcome to Squawk on the Street. I'm Carl Quintanilla with Jim Cramer, David Faber, host of the New York Stock Exchange. Future is pretty solid. Stocks look to revisit some of those recent all-time highs as tariffs on some 90 countries officially went into effect at midnight. Bank of England cuts for the fifth time this cycle. Jobless claims tick higher to 226K. Our roadmap begins with the president's reciprocal tariffs going into effect on dozens of US trading partners. President also unveiling some new chip tariffs with some broad exemptions.

David Faber (1:37)

Apple shares are rallying again this morning as CEO Tim Cook puts his diplomatic skills into action at the White House. And we're keeping an eye on shares of Eli Lilly. They are down and rather dramatically right now. The drug maker does raise guidance, but it is the focus on its late stage trial for obesity, of course, and a pill, and perhaps the lack of weight reduction. Still seems like a lot, guys, but not enough to satisfy Wall Street.

Jim Cramer (2:06)

I was looking for 15

Carl Quintanilla (2:09)

Let's begin, though, with the president's reciprocal tariffs going into effect on more than 90 countries. President also announcing tariffs on some imported semiconductors. Take a listen.

Donald Trump (2:19)

We'll be putting a tariff on of approximately 100 percent on chips and semiconductors. But if you're building in the United States of America, there's no charge even though you're building and you're not producing yet in terms of the big numbers of jobs and all of the things that you're building. If you're building, there will be no charge.

Carl Quintanilla (2:42)

So, streets getting to work this morning, Jim, figuring out for those who would, for example, pay 100% of what that does to the cost, say, of a vehicle?

Jim Cramer (2:50)

Yeah, look, I think that it's a mad scramble. We're all looking. We're all, I don't want to say that anyone has a masterless because I think in many ways the president, I think he shot from the hip on this one. But I think that all of these companies that you're seeing there, like Broadcom, yeah, they got exposure, but they sell the apple. I mean, they bank it in China, they sell the apple. That's supposed to be okay. Qualcomm are not clear. What I'm trying to, what I'm focused on is, did Samsung go from being the advantage, I'm sorry, the advantage phone, it's the Canadian weather, the forest fire.

It is.

David Faber (3:26)

Yeah, they're exporting.

Jim Cramer (3:26)

They're trying to be creative.

David Faber (3:27)

They're exporting their smoke to us.

Jim Cramer (3:29)

Don't say that.

David Faber (3:30)

No tariff on it, though.

Jim Cramer (3:31)

Oh, so that's where you stand. Okay, there is, without a doubt, Samsung was the favorite guy when it came to the cost of your phone on Monday. After what happened yesterday, I question whether Samsung's phone might be more expensive when this is over, which is one of the reasons why I think Apple stock has been roaring. Now, it has been roaring on very light volume. It was walked up between 210 and 219 They couldn't get it to cross 220 on very little volumes. You want to be a little careful because the stock came back off on that. But I do think that this is the beginning of American, let's say, favoritism versus a foreign company when it's up in the air. And if I were Samsung, what I would do right now, and they're going to tell you that they have some stuff going, but I would say, look, we want to outshine anyone. Because I think they could be odd man out.