Your Evening Briefing

May 12, 2026

Stocks retreat from records as chip stocks fall, core inflation rises

The S&P 500, Nasdaq 100, and Russell 2000 retreated from yesterday’s records as core inflation came in hotter than expected for April.

The April reading of the Consumer Price Index showed headline inflation rose 0.6% month on month (as economists expected), with core inflation (which strips out volatile food and energy prices) rising 0.4%, more than the 0.3% economists had anticipated.

Consumer discretionary was the worst-performing sector, dragged down by losses in Amazon and Tesla, while information technology was the second-worst as chip stocks pulled back. Healthcare was the best performer.

Stocks that moved higher:

PACS Group, Inc. soared after beating estimates for Q1 earnings and revenue.
BuzzFeed surged after Byron Allen agreed to buy a controlling stake at $3 a share and become CEO.
Quantum Computing soared after posting better-than-expected Q1 sales.

Stocks that moved lower:

Micron, Western Digital, Seagate Technology Holdings, and Sandisk fell after a prominent South Korean policymaker floated a “citizen dividend” funded by AI tax revenues, rattling the memory chip sector.
Hims & Hers plunged after taking a $33 million restructuring charge and entering a “strategic pivot” following blowback from its copycat Wegovy pill.
Under Armour tumbled after forecasting an annual sales decline, while analysts had anticipated a 2% increase.
GitLab fell after announcing a workforce reduction plan tied to the “agentic era”.
Tesla slipped as a Reuters report poured water on its Texas robotaxi expansion plans.
AST SpaceMobile sank after a big revenue miss, though the company maintained full-year guidance.
D-Wave Quantum fell after reporting lower-than-expected Q1 sales, despite a boom in backlog from major deals.
Shares of Rigetti Computing fell despite the quantum computing firm reporting Q1 sales that exceeded analysts’ estimates after the bell yesterday.
Bitcoin miner and data center operator MARA Holdings dipped after releasing its Q1 earnings report yesterday, missing analysts’ expectations on revenue and earnings per share.
T1 Energy dipped despite posting a much-smaller-than-feared quarterly loss this morning.
Shares of Power Solutions International extended yesterday’s losses after the engine and power system provider released its Q1 results.
Shares of CleanSpark fell after the bitcoin miner and data center developer reported its second-quarter earnings yesterday, missingWall Street estimates on the top and bottom lines.

Smartphones are 12% cheaper than last year, according to the latest inflation data... except they’re not

Phones are one of a few important categories that get quality, or “hedonic,” adjustments in the Consumer Price Index — which make their price go down in the official statistics. Read more.

55% of Americans think they are at least “somewhat” cool — which celebrities do they say the same for?

Samuel L. Jackson, Michael Jordan, and John, Paul, George, and Ringo all make the cut.

Read more.

Netflix announced today that it has spent more than $135 billion on licensing and original film and TV over the past decade.

According to Netflix, the company has contributed $325 billion to the global economy in that time, creating more than 425,000 jobs. Read more.

eBay rejects GameStop’s unsolicited $56 billion takeover bid, calls it “neither credible nor attractive”
In its rejection letter, eBay’s board cited “uncertainty” around GameStop’s financing proposal.
Bitcoin’s bull-bear cycle signal turns green
When the indicator moves out of bear territory and enters the early bull zone, it often suggests that the worst phase of the correction has already passed and that market structure is beginning to recover, according to one analyst.
Report: China seeking access to Anthropic’s Mythos model
The news of China’s approach to Anthropic reportedly caused alarm inside the White House.
Google launches Googlebook, an AI-first, Android-ready successor to the Chromebook
We don’t know what it will cost but the blog post mentions “premium” four times.
Trump snubs Jensen Huang for his trip to China
Nvidia CEO Jensen Huang regularly appeared at formal White House functions and trips overseas with Trump. Nvidia is eager to sell its H200 chips to China.
Nintendo brings back the $500 Switch 2 bundle before the console’s September price hike
Nintendo last week announced it will raise the price of the Switch 2 in the US in September.
Waymo recalls 3,800 robotaxis after software issue leads to flood incident
The recall follows an April 20 incident in which an unoccupied Waymo drove into a flooded lane in San Antonio, prompting Waymo to review similar scenarios.
Amazon rolls out 30-minute delivery in 4 cities with plans to expand to dozens more
If you live in Atlanta, Dallas-Fort Worth, Philadelphia, or Seattle, you can currently get AirPods, groceries, or cleaning supplies delivered in under an hour.
North Korean actors have stolen $6.75 billion in crypto since 2016
Stealing cryptocurrencies has turned into a primary state revenue mechanism for North Korea, according to a Tuesday report from security firm Certik.

Was this email forwarded to you? Don’t miss out on future stories — subscribe to The Wrap and get your daily dose of financial news straight to your inbox.

Craving more insights in your inbox? Subscribe to Chartr and Snacks for quality reads.

We care what you think! If you have any feedback or comments, feel free to reply and let us know your thoughts!

Sherwood Media, LLC produces fresh and unique perspectives on topical financial news and is a fully owned subsidiary of Robinhood Markets, Inc., and any views expressed here do not necessarily reflect the views of any other Robinhood affiliate... See more

SHERWOOD MEDIA, LLC, 85 Willow Road, Menlo Park, CA 94025