AMD stock ends week higher as post-earnings loss erased by Microsoft AI hopes

Advanced Micro Devices Inc. shares rallied Friday to eliminate steep losses from Wall Street’s skepticism following the chip maker’s earnings report.

AMD shares dropped more than 9% Wednesday after the chip maker’s optimism for the second half of the year did not rub off on analysts, but a rebound began Thursday following a report that AMD AMD was partnering with Microsoft Corp. MSFT to develop an in-house chip to handle AI workloads. Microsoft has relied mostly on AMD’s larger rival Nvidia Corp. NVDA for its data-center…