Just when Nvidia had jumped on the coffee table at the AI dance party, U.S. regulators came in and flicked the lights on.

• The Justice Department and the FTC are moving ahead with antitrust investigations into the roles that the chip designer, Microsoft and OpenAI play in industry, per a source familiar with the matter.

Why it matters: The broad probe shows the intensifying scrutiny of AI and regulators' concern about the technology's concentration within some of the largest companies in the world.

Zoom in: The DOJ will investigate whether AI chipmaker Nvidia's conduct has violated antitrust laws, the source said.

• The FTC will examine OpenAI and Microsoft's conduct regarding their AI partnership.
• The FTC is investigating whether Microsoft structured its investment in Inflection AI to avoid a government antitrust review of the transaction, per a source familiar with the matter.
• Microsoft, separately, has invested $13 billion into OpenAI, the maker of ChatGPT.

Market impact: Nvidia shares closed down 1.1%, while Microsoft finished up 0.1%.

💭 Ashley's thought bubble: This is a new chapter of federal agencies aiming to dissuade consolidation of power.

• Years ago, the DOJ and FTC similarly divvied up cases focused on the structure and power of Google, Amazon, Apple and Meta, cases that have had a spotty track record of success and are not yet over.

Go deeper

Big Lots today reported a punishing loss and plunging sales as the discount retailer careens deeper into crisis mode.

Why it matters: Discount stores catering to lower-income shoppers are under pressure as their target audience is increasingly pinching pennies.

Driving the news: Big Lots recorded a net loss of $205 million in its fiscal Q1, while comparable sales fell 9.9%.

• CEO Bruce Thorn acknowledged the company missed its sales goals: "We still have a lot of work ahead of us," he said.
• The retailer is planning to ramp up what he called "extreme bargains" while cutting costs and boosting productivity.

The impact: Big Lots shares fell 18% to $2.88.

• The stock is down about 64% in 2024.

⛴️ The Port of Baltimore could fully reopen this weekend. (Axios)

🏹 Robinhood agreed to buy crypto exchange Bitstamp at half of its last valuation. (Axios)

💨 The FDA rescinded its marketing ban on Juul e-cigarettes. (Axios)

GameStop shares rocketed anew today, as retail investing guru Keith Gill (aka Roaring Kitty) scheduled a YouTube livestream for tomorrow.

Why it matters: Gill's return to social media last month sparked a meme-trade resurgence, prompting renewed questions about whether any of this could be considered market manipulation.

The answer? Probably not, lawyers told the Wall Street Journal.

• For manipulation, securities regulators would need evidence that Gill deceived the market, they told the publication.
• Leveraging celebrity to influence other meme-stock traders, however, doesn't necessarily qualify.

Yes, but: Companies around this most recent meme-stock run are starting to exert more caution.

• E*Trade is reportedly considering kicking Gill off its platform, according to a separate WSJ report Monday.
• The YouTube channel Gill is dusting off tomorrow now includes a 240-word disclaimer.

The bottom line: There are already over 14,000 people waiting for Gill's YouTube livestream and a lively streaming chat — a full day before it's set to begin.

• GameStop shares closed up over 47% today to $46.55, while fellow meme AMC rose over 12% to $5.79.

Dolly Parton has been workin' 9 to 5 on this.

State of play: The country music legend said today that she's writing a Broadway musical based on her life.

• "Hello, I'm Dolly — An Original Musical" will debut in 2026, featuring a mix of Parton's hits and new tunes, Variety reports.

Fun fact: "Hello, I'm Dolly" — a play on the 1964 Broadway hit "Hello, Dolly" — was the title of Parton's debut album in 1967.

💭 Nathan's thought bubble: Dolly Parton is a national treasure, so I'm thinking this is a guaranteed hit.

"Sportsbooks are an easy target for politicians."