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FTC sues to block Nvidia’s ARM deal, Musk sells more Tesla stock, Munger critiques stock market

Yahoo Finance Live host Julie Hyman breaks down several of the leading national headlines.

Video transcript

JULIE HYMAN: The Federal Trade Commission is suing to block Nvidia's $40 billion ARM merger from going through. This is due to concerns that the combined businesses would stifle competition and harm consumers. The proposed deal would give Nvidia complete control over technology that rival firms rely on to build competing chips, they say.

The merger would be the largest semiconductor deal in history, and the suit comes after Google, Microsoft, and Qualcomm all complained about the merger, which prompted an FTC investigation. Nvidia has said whether or not its ARM Holdings deal succeeds, is in a strong position on a go-forward basis.

Tesla CEO Elon Musk has sold more than 934,000 shares of his company valued at just over a billion dollars. That's according to regulatory filings. The sale comes as Musk exercised more than 2.1 million vested Tesla stock options. He began selling shares on November 8, and now he's unloaded a total of over $10 billion in Tesla.

In mid-September, he started a plan to exercise some of his vested stock options set to expire in August 2022 and to sell some of the shares to meet his tax obligations after, of course, a Twitter poll.

Berkshire Hathaway vice chairman Charlie Munger has some hot takes on the stock market. The 97-year-old businessman described the current stock market and company valuations as, quote, unquote, "crazier than the dotcom boom." He made those comments at the Sohn Hearts and Minds investment conference in Sydney.

Munger said it's tough for average investors to get a grip in the market as companies are trading at 35 times earnings and the valuations the most extreme he's seen in recent history. Munger did say he likes Costco, and he predicts it will eventually become a huge internet player. I believe he said he liked Costco, Brian Cheung, better than Amazon.

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