STARBUCKS EXPLORED CHIPOTLE TAKEOVER, REPORT SAYS

Starbucks has worked with advisers in recent months on a proposal to take over Chipotle Mexican Grill, according to a Financial Times report. Shares in Chipotle rose following the report, Bloomberg said. Starbucks Chief Executive Brian Niccol previously spent six years as Chipotle's top executive before moving to lead Starbucks. Separately, consumer-insights firm HundredX reported new data showing Starbucks performing well against faster-growing rivals such as Dutch Bros, which analysts at CNBC's Investing Club described as evidence that a turnaround at Starbucks is under way.

The HundredX data suggested customers intend to increase their spending at Starbucks cafes despite a period of elevated fuel prices and inflation, according to CNBC's Investing Club. The firm's analysts said the finding was significant because one argument against Starbucks' long-term prospects is that newer beverage chains could expand nationally in the way Starbucks itself did decades ago. CNBC's Investing Club said it could not be certain how the competitive landscape would look in future years. The report on a possible Chipotle deal came during a broader decline on Wall Street, which the Investing Club attributed to rising oil prices and bond yields, along with a separate Financial Times report that OpenAI's annualised revenue run rate was lower than investors had expected.

That OpenAI-related report contributed to heavier selling in technology and artificial intelligence-linked shares, with Oracle, Broadcom, Intel and Micron among those recording notable declines, according to CNBC's Investing Club. The Investing Club said it had been buying shares in Kimberly-Clark, FedEx and Bank of New York during Thursday's session. No further detail on the status or timing of any Starbucks approach to Chipotle was given in the available reporting. Bloomberg Intelligence analyst Michael Halen commented on the Chipotle share movement following the takeover report.