You know that friend who keeps insisting they’re “totally over” their ex while simultaneously checking their Instagram stories? That’s basically quantum computing stocks right now with government funding rumors.
Here’s what went down: The Wall Street Journal dropped a report yesterday claiming the Trump administration was in talks to take equity stakes in quantum computing companies like Rigetti Computing (RGTI), Quantum Computing (QUBT), D-Wave Quantum (QBTS), and IonQ (IONQ). Think of it as Uncle Sam sliding into their DMs with a “hey, want some funding?” message.
The market’s reaction? Pure chaos. QBTS shot up 20% faster than your electricity bill in summer. Investors were practically doing cartwheels in the trading pits.
But then – plot twist! – Reuters couldn’t confirm the story, and a Commerce Department official basically said “nah, we’re not currently negotiating equity stakes with quantum computing companies.” Notice that sneaky word “currently” though. It’s doing more heavy lifting than a CrossFit enthusiast on New Year’s Day.
Did the stocks crash after the denial? Nope. They closed up for the day anyway, because apparently investors have selective hearing when it comes to good news. Today? They’re climbing again, up 3-5% in premarket trading like nothing happened.
Here’s the thing: investors might actually be onto something. The Trump administration has been throwing money at “critical industries” like it’s Monopoly money. They took a 10% stake in Intel for $8.9 billion in CHIPS Act grants, grabbed positions in mining companies like MP Materials and Lithium Americas, and even snagged a “golden share” of U.S. Steel.
So when traders hear “quantum computing” and “government investment” in the same sentence, they’re thinking: “This is inevitable, might as well get in early.” It’s like knowing your favorite restaurant is about to get a Michelin star – you make reservations before everyone else catches on.
The reality is quantum computing sits at the intersection of national security and economic competitiveness. China’s pouring billions into quantum research, and the U.S. isn’t about to let them have all the fun. Whether it happens this month or next year, some form of government support seems likely.
Investors are essentially betting on the “where there’s smoke, there’s fire” principle. Sure, this particular rumor got shot down, but the underlying logic remains: quantum computing is too important for the government to ignore, and these companies need serious cash to compete globally.
The bottom line? Sometimes the market moves on vibes rather than facts, and right now the quantum computing vibe is “government money is coming eventually.” Whether that’s smart investing or wishful thinking depends on your tolerance for riding the rumor mill.
Just remember: in the stock market, being early and being wrong can look exactly the same for longer than your patience (or portfolio) might last.