Happy Tuesday Zingernation! Every once in a while, we need a reminder that our memories aren’t as great as we think they are. According to some VHS tapes (still not sure about the validity of any video taken before 2005), that home run I swore I hit over the fence in 5th grade was actually a pop fly to right field that the fielder misplayed. Maybe that explains why half of Americans think stocks are down this year, despite a 12% gain.

—Aaron Bry & Nic Chahine

Plus, want to take your options trading to the next level? Check out today’s partner, Cboe.

MARKET SNAPSHOT

Yesterday: Pretty normal day on the street. Well, besides the glitch that briefly brought stocks like Berkshire Hathaway and Chipotle down 99%. Oh yeah, and GameStop added nearly a fourth of its valuation in a single day based on some tweets and a Reddit post. Other than that, totally normal Monday.

On Our Radar: Quiet day on the economic data front, but we will get some earnings this afternoon from companies like Crowdstrike, Hewlett Packard and more.

TOP STORY

Morgan Stanley's E*Trade Mulls Roaring Kitty Ban Over Alleged Stock Manipulation: Report

Basically: Morgan Stanley is reportedly considering banning Keith Gill, a.k.a. ‘The Roaring Kitty,’ from its E*Trade electronic trading platform due to allegations of his involvement in manipulating meme stock prices through his social media activities.

So: Keith Gill purchased a significant volume of GameStop options on E*Trade, according to a Monday Wall Street Journal report.

The Context: In a Reddit post shared Sunday, Gill revealed that he holds over $115.7 million in shares of the video game retailer.

The Details: Known for his large following on Reddit, especially among users of r/WallStreetBets, Gill shared a screenshot on the r/SuperStonk subreddit indicating that, in addition to the shares, he possesses about $65.7 million in call options set to expire on June 21, with a strike price of $20 each.

Why It Matters: This disclosure reignited the hype around meme stocks on Monday, leading to a 23% increase in GameStop Corp. GME shares and a 9.7% rise in AMC Entertainment Holdings Inc. AMC shares.

Click here to read more. 

PRESENTED BY CBOE

FIVE ZINGERS

No Bueno: Mexican stocks took a hit yesterday following the election of Claudia Sheinbaum in the biggest landslide victory in Mexico’s history.

Just For VIX: The VIX, a measure of market volatility, had a strong day yesterday, trading up more than 8% at one point.

One Coin To Rule Them All: It’s fun to trade the Dogecoins and Shiba Inu of the world. But here’s why one crypto expert says you only need this coin.

More Election Woes: It’s not just Mexico: Indian stocks took a hit this morning amid the country’s election uncertainty.

Mother May I: Iggy Azalea’s crypto coin, $MOTHER, was met with controversy on its launch. But, it’s making a comeback.

ONE FOR THE ROAD

Intel Shares Rise In Pre-Market After Announces New AI Chips

Briefly: Intel Corp. saw a 2.34% rise in pre-market trading on Tuesday, after announcing its new Lunar Lake chips with advanced AI processors.

What Happened: At the ongoing Computex technology trade show in Taiwan, Intel CEO Pat Gelsinger revealed the company’s updated AI strategy, which aligns with Microsoft Corp “Year of AI PC” initiative.

So: These chips are designed for Copilot+ AI PCs and data centers to compete with Advanced Micro Devices.

Price Action: Intel’s pre-market activity saw a spike after the announcement. At the time of writing, Intel was trading at $30.90. Meanwhile, AMD shares dropped 0.95% to $162.00, and NVIDIA shares also fell 0.77% to $1,141.20.

The Details: The Lunar Lake series, set to launch later this year, is the first to meet Microsoft's Copilot+ PC standards, boasting over 40 trillion operations per second for its NPU (TOPS) and 16GB memory. This series will offer significant improvements over the current Meteor Lake SoCs.

Click here to read more.

PPRESENTED BY CBOE