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FRIDAY 17th May

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U.S. Moves to Reschedule Marijuana and Dow Jones Sets New Record

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Dow Jones Industrial Average Sets New Record

American stocks are performing exceptionally well at the moment! Yesterday, the Dow Jones Industrial Average set a record, and earlier this week, the S&P 500 also reached new heights. Despite inflation and high interest rates, hype around AI and overall positive market sentiment have driven stocks significantly higher. This surge has notably benefited the Dow Jones, which has set records 18 times this year and has risen by 5.8% since the start of the year. The index includes companies like Amazon, Apple, Disney, Chevron, UnitedHealth, and JPMorgan.

Reddit Partners with OpenAI

The social media platform Reddit has entered a partnership with AI company OpenAI, the developer behind the chatbot ChatGPT. The announcement, made on Thursday evening UK time, allows OpenAI to access Reddit's content for training ChatGPT and includes OpenAI becoming an advertising partner for Reddit. Investors highlight data sales to AI models as a crucial revenue source for Reddit. Following the news, Reddit shares rose nearly 12% in after-hours trading.

U.S. Moves to Reschedule Marijuana

Yesterday was significant for companies invested in or operating with marijuana. On Thursday, the U.S. Justice Department took a major step toward rescheduling marijuana, formalising its process to reclassify the drug as lower-risk. The Biden administration has signalled it would move the drug from Schedule I to Schedule III, recognising its medical benefits at the federal level for the first time. This process, which may take a few months to a year, will enable federal scientists to study cannabis' medical benefits and potentially involve pharmaceutical companies in its sale. The change could alleviate significant tax burdens for the $34 billion cannabis industry and reduce the black market, benefiting legal businesses.

Sources: CNBC, Euroinvestor. 

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