Stock Movers: Marijuana Stocks Fall, Micron Soars, Nike Weakness

Marijuana Stocks' Volatile Day

• 🍁 Marijuana stocks experienced a significant downturn, with the MSOS cannabis ETF falling approximately 27%, marking its worst day since November.
• 📈 This decline followed an initial rally, where the ETF had its best day ever the previous Friday, up 55%.
• 💡 The market reaction suggests that the easing of restrictions by Trump was priced in, and the legislation did not go as far as some investors hoped, particularly regarding banking reforms.

Nike's Mixed Performance

• 👟 Nike (NKE) shares saw selling pressure in after-hours trading despite reporting results that initially appeared good.
• 📉 Underlying concerns include continued softness in the China market and underperformance from legacy brands like Converse, which plunged 30% in the fiscal second quarter.
• ⏳ The market is questioning the effectiveness of the new CEO's turnaround efforts, even as progress is acknowledged.

FedEx Shows Resilience

• 🚚 FedEx (FDX) shares rose in post-market trading, up about 2.5%.
• 📊 The company narrowed its full-year EPS guidance to the upside and beat quarterly profit expectations, driven by improving demand and successful cost-cutting measures.

Micron's AI-Fueled Surge

• ⚡ Micron (MU) shares surged nearly 10%, marking its best single-day gain in over eight months.
• 🚀 This performance was a crucial test for the market, especially after disappointments from Oracle and Broadcom, as it validated the rally in AI stocks.
• 💡 Micron's upbeat forecast signals that strong demand and supply shortages are enabling price increases for memory chips, suggesting the AI rally has a solid foundation.