Cannabis stocks surged today following news that President Trump will loosen federal restrictions on marijuana.

🏦 Why it matters: Marijuana's reclassification would likely eliminate the gray area long surrounding cannabis companies and banks, which have largely stayed out of the business since it's still illegal on a federal level.

🔥 Market impact: Curaleaf closed up 38%, Canopy Growth 54%, Tilray Brands 44%, Cresco Labs 84%, Ascend Wellness Holdings 48%, Jushi Holdings 59% and TerrAscend 84%.

🗣️ Zoom in: Reclassification to a Schedule III drug would provide cannabis companies with "more rational tax policies, safer banking and access to institutional capital," says Hannah Ross, CEO of cannabis company Flower by Edie Parker.

The current federal restrictions have long kneecapped the cannabis industry.

• Cannabis company tax laws currently fall under a section of the IRS Revenue Code that limits businesses' ability to claim standard deductions because of marijuana's Schedule I status.
• Though the companies still must pay federal income taxes, they cannot deduct operating expenses.

✋ Yes, but: Rescheduling would not create national legalization or allow marijuana pharmacy sales.

• It would also not solve the issue of fragmented, state-by-state regulations that complicate supply chains and product packaging.

💨 The bottom line: The normalization of marijuana is entering a new chapter.

Nvidia is reportedly seeing strong interest from Chinese companies for its H200 chips — the newest export-compliant GPU just approved by President Trump for sale in the country, Axios' Pete Gannon writes.

• Interest in the H200s currently exceeds Nvidia's production of the chip, Reuters reported today, citing sources.

Yes, but: Before any official orders are made to Nvidia, Chinese buyers need approval from Beijing, which — in an effort to build its domestic chip industry — is doing everything it can to point companies toward its own supply, reports say.

The big picture: Reports of new demand, however, are welcome news on a day when AI hopium is turning to discernment for many investors, Axios' Madison Mills writes.

• Oracle (down 4.5% today) and Broadcom (-11.4%) are getting punished for less-than-stellar earnings this week, bringing Nvidia (-3.3%) down alongside them.

The bottom line: The AI investment thesis is shifting: Investors are set to reward efficiency, not spending, in 2026.

• That could be a big problem for Nvidia, which benefits from record spending from a handful of Big Tech customers.

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"Until such time that professional sports leagues and fans can be certain that effective game integrity and consumer protection measures can be enforced, sports-related events contracts should not be approved by the CFTC, and Congress should consider clarifying the definition of 'gaming' contracts in the prohibited categories of the Commodity Exchange Act."

—Jeff Miller, the NFL's executive VP for communications, public affairs & policy, player health & safety, in testimony submitted to Congress about the Commodity Futures Trading Commission's handling of prediction markets

📈 Bayer shares have rallied 40% in the last five weeks on hopes that the Supreme Court will consider the Monsanto acquirer's bid to keep Roundup weed killer on the market. (Bloomberg)

🏦 The OCC granted conditional approval for five crypto-related firms — including Circle and Ripple — to obtain national trust bank charters. (Axios)

A Saks Fifth Avenue stylist is being accused of stealing more than $400,000 from the luxury retailer in a returns scam.

State of play: Suhail Kwatra, a former stylist at the chain's location in Boston, is facing fraud and larceny charges, WSJ reports.

• He is accused of returning clothing purchases that his luxury clients ordered but never picked up, pocketing his haul via gift cards, WSJ says.
• The gift cards "he used to buy items for himself — some of which he wore in unspecified social media posts," according to a criminal complaint in Boston.

The other side: Kwatra denied the allegations and accused Saks of retaliating against him for pursuing another job.

💭 Nathan's thought bubble: And here I am worried about whether Giant will take back the can of soup I bought.