The S&P 500 ended lower on Thursday, with Intel and other chip stocks retreating after a recent rally, while uncertainty around U.S.-Iran peace talks weighed on the wider market. U.S.-listed shares of Arm Holdings tumbled as worries about the company’s ability to secure sufficient supplies for its new AI chip overshadowed a strong earnings forecast. Intel and Advanced Micro ‌Devices declined, giving back ⁠some of ⁠their gains from earlier this week. The PHLX chip index dropped, trimming its gain so far this quarter to around 46%.

The United States and Iran were edging toward a temporary agreement to halt their war, sources and officials said, with Tehran reviewing a proposal that would stop the fighting but leave the most contentious issues unresolved.

“You can have a string of days like this, and that’s not going to take away from the fact that this has been a rip-roaring quarter of recovery, driven by fundamentals,” said Mike Dickson, head of portfolio management at Horizon Investments in Charlotte, ⁠North Carolina. Oil prices edged ‌lower, trading around $100 per barrel. Nvidia and Microsoft both climbed, underscoring investor confidence in Wall Street’s heavyweight AI companies.

According to preliminary data, the S&P 500 lost 29.46 points, or 0.40%, to end at 7,335.66 points, ⁠while the Nasdaq Composite lost 32.75 points, or 0.15%, to 25,801.20. The Dow Jones Industrial Average fell 313.34 points, or 0.64%, to 49,597.25. A relentless rally in technology and AI shares has helped push U.S. stocks to record highs in recent days as investors cheer signs of strong demand for artificial intelligence and a robust earnings season. S&P 500 companies are on track for their strongest profit growth in more than four years.

Upbeat economic readings in recent weeks have also helped allay concerns about the economy. Data showed the number of Americans filing claims for unemployment benefits rose less than expected last week.

After a strong private payrolls ‌report on Wednesday, investors are awaiting more comprehensive nonfarm payrolls data on Friday, with jobs seen increasing by 62,000 in April after rebounding 178,000 in March, according to a Reuters poll of economists.
Traders continued to bet the U.S. Federal Reserve would ⁠hold interest rates steady through the end of the year due to a resilient labor market and elevated energy prices. Cleveland Fed President Beth Hammack said she expects the central bank to hold interest rates steady well into the future as it navigates a climate of considerable uncertainty. Datadog climbed after the cybersecurity company raised its full-year earnings forecast. CrowdStrike and Palo Alto Networks also gained.

Whirlpool slumped after the home-appliance maker missed first-quarter sales estimates and suspended its dividend.

Declining stocks outnumbered rising ones within the S&P 500 by a 1.7-to-one ratio.

The S&P 500 posted 18 new highs and 10 new lows; the Nasdaq recorded 126 new highs and 83 new lows.

TAINAN, Taiwan — Shares of Himax Technologies Inc. (NASDAQ: HIMX) exploded more than 40% in morning trading Thursday after the display driver and semiconductor specialist posted first-quarter results that topped its own guidance and issued upbeat projections for the current quarter, highlighting strength in automotive displays, AI sensing and emerging smart glasses applications.

The stock, which closed Wednesday at roughly $12.33, surged as high as $17.50 intraday on heavy volume. By late morning, shares traded around $17.36, up $5.03 or 40.80%, marking one of the largest single-day gains in the company’s history and boosting its market capitalization by more than $800 million.

Himax reported first-quarter net revenue of $199.0 million, a modest 2.0% sequential decline that landed at the high end of its February guidance range of a 2-6% drop. Gross margin held steady at 30.4%, also at the upper end of expectations. After-tax profit reached $8.0 million, or 4.6 cents per diluted American Depositary Share (ADS), exceeding the guided range of 2.0 to 4.0 cents.

Strong Q2 Outlook Fuels Rally

Management guided second-quarter revenue to rise 10.0% to 13.0% sequentially, with gross margin around 32% and profit per diluted ADS between 8.6 and 10.3 cents. The upbeat forecast signaled a clear rebound from the seasonal trough in Q1 and reinforced confidence in a stronger second half.

“We expect upward momentum through the remainder of 2026, supported by a meaningful number of new automotive projects scheduled to enter mass production in the second half,” said Jordan Wu, president and CEO. “The positive outlook is also supported by anticipated growth in our non-driver IC businesses, particularly Tcon and WiseEye AI.”

Segment Highlights and Strategic Shifts

Large-panel display drivers grew 11.7% sequentially to $24.2 million, driven by restocking of high-end TV ICs. Small- and medium-sized drivers, which include smartphone, tablet and automotive products, dipped slightly amid typical seasonality and inventory adjustments but showed pockets of strength in OLED solutions and premium tablets.

Non-driver IC sales, a key growth area, declined modestly but management highlighted robust underlying demand. Automotive timing controllers (Tcon) with advanced local dimming features continue to win design-ins, positioning Himax for sustained expansion despite broader market headwinds.

Himax is increasingly diversifying beyond traditional display drivers. The company is gaining traction in ultralow-power AI sensing via its WiseEye technology and microdisplays for augmented reality (AR) smart glasses. Recent demonstrations at Display Week 2026 showcased upgraded front-lit LCoS microdisplays with superior contrast and efficiency, eliminating common visual artifacts.

CEO Wu expressed growing optimism about smart glasses, noting that a leading brand has adopted WiseEye for mass production later this year, with additional major players expected to follow. Revenues from AI and AR applications are projected to grow substantially in coming years.

Balance Sheet Strength and Shareholder Returns

Himax maintained a solid financial position with $287.6 million in cash, cash equivalents and other financial assets as of March 31. The company announced a cash dividend of 25.2 cents per ADS for fiscal 2025 — a 100% payout ratio — payable July 10, underscoring confidence in future cash generation.

Inventories remained well-managed at $151.7 million, while days sales outstanding improved slightly. Capital expenditures were modest, focused on R&D equipment.

Market Context and Analyst Views

Himax operates at the intersection of several high-growth trends: advanced automotive displays, AI infrastructure and consumer AR/VR devices. Its display driver expertise serves major panel makers supplying smartphones, TVs, tablets and vehicles, while newer forays into co-packaged optics (CPO) and low-power AI position it as a potential indirect beneficiary of broader semiconductor demand.

The stock’s dramatic move reflects relief after a period of softer consumer electronics demand in 2025. Earlier reports linking Himax to potential roles in Nvidia-related AI optics and Apple smart glasses had already boosted sentiment in recent months. Today’s results validate the recovery narrative and provide tangible evidence of execution on diversification strategies.

Analysts had entered the earnings period with cautious estimates, projecting around $195 million in revenue. The beat on both top- and bottom-line metrics, combined with aggressive Q2 guidance, triggered widespread short covering and fresh buying from momentum investors.

Risks and Forward Outlook

Challenges remain. Geopolitical tensions, memory chip supply constraints affecting mature process nodes, and rising gold prices are pressuring costs. Himax is working with customers on pricing adjustments to offset these headwinds. Automotive market softness and potential delays in new project ramps also warrant monitoring.

Nevertheless, management reiterated long-term confidence in automotive display ICs, citing a strong design-win pipeline across DDIC, TDDI and advanced Tcon solutions. The company’s technological leadership and diversified customer base provide a buffer against cyclical downturns.

For investors, the surge underscores the volatility and opportunity in specialty semiconductor plays tied to AI and next-generation displays. While today’s move may invite some profit-taking, the fundamental momentum — record backlog potential in automotive, expanding AI/AR exposure and improving margins — suggests further upside if execution continues.

As trading progresses Thursday, attention turns to the earnings conference call for additional color on customer traction, pricing dynamics and timelines for new product ramps. Himax’s transformation from a pure-play display driver supplier to a broader technology enabler in AI sensing and AR appears to be gaining credibility with the market.

The rally caps a strong period for HIMX, which has more than doubled year-to-date amid renewed semiconductor sector enthusiasm. Whether this marks the beginning of a sustained uptrend will depend on delivering against the ambitious growth targets outlined today, but for now, investors are rewarding Himax’s ability to beat expectations and point to a brighter 2026.

Federal prosecutors announced Wednesday that 30 people have been charged in a sweeping insider trading scheme in which attorneys allegedly leveraged their positions to obtain confidential information surrounding pending mergers and acquisitions in exchange for kickbacks. 

Authorities arrested 19 individuals on charges stemming from the alleged decade-long plot, the U.S. Attorney’s Office for the District of Massachusetts said in a press release. Two suspects are located in Russia and Israel, and are considered fugitives. 

Those taken into custody include California attorney Nicolo Nourafchan, whom federal prosecutors have identified as the alleged orchestrator of the scheme that earned tens of millions of dollars. He faces two additional counts of obstruction of justice. 

EX-SANTANDER BANKER IN RHODE ISLAND PLEADS GUILTY TO STEALING $125K FROM CLIENT WITH DEMENTIA

“Everyone charged today is accused of scoring significant profits from expected market moves and making out like bandits,” Ted Docks, special agent in charge of the Federal Bureau of Investigation’s Boston Division, said in a statement. “That’s not merely gaming the system – it’s a federal crime.” 

Federal prosecutors allege Nourafchan, among others, leveraged his role as a licensed corporate attorney at several large law firms to access internal computer networks in order to obtain confidential information regarding looming pending mergers. 

Nourafchan then allegedly supplied the unreleased information to others in exchange for kickbacks, authorities said. 

FIDELITY, VANGUARD REPORTEDLY PAUSE SPLC GRANTS AFTER FEDERAL FRAUD CHARGES 

Prosecutors also said Nourafchan and his partner, New York attorney Robert Yadgarov, allegedly propositioned other attorneys and industry insiders to obtain confidential information in exchange for hundreds of thousands of dollars in cash. 

From there, Nourafchan and Yadgarov would provide the information to a network of traders and other middlemen, including Gavryel Silverstein and Lorenzo Nourafchan, who would subsequently relay it to other individuals, according to federal authorities. 

The traders would then allegedly execute trades on Nourafchan and Yadgarov’s behalf – or their own behalf – in exchange for kickbacks, or pass along the information to other traders with the ultimate goal of profiting from the deals. 

CRYPTO FRAUD TOPS FBI’S ANNUAL CRIME REPORT AS AMERICANS LOSE BILLIONS TO SCAMS

In one instance, Nourafchan took a “leave of absence” from his role at a law firm and viewed confidential documents relating to the acquisition of iRobot – which was later abandoned, prosecutors allege. 

Federal prosecutors said traders – located both overseas and in states such as California, Florida, New York and New Jersey – allegedly conducted transactions based off the confidential information stemming from nearly 30 merger deals involving several public companies, including some of the largest deals over the last decade. 

They often spoke in code in an attempt to avoid detection by law enforcement, authorities added. 

GET FOX BUSINESS ON THE GO BY CLICKING HERE

The 30 defendants face a slew of federal charges, including conspiracy to commit securities fraud and money laundering conspiracy, prosecutors said.

“Anyone who engages in insider trading fundamentally undermines the trust necessary for our financial markets to function,” Docks said, adding, “The FBI is committed to ensuring that those markets are a level playing field, not just profiting those with friends in the know.”

SYDNEY — Woolworths has finally expanded its in-store soft plastics recycling program to more than 700 stores across five states, giving millions of Australian households a convenient way to tackle household waste nearly four years after the collapse of the REDcycle scheme left thousands of tonnes of plastic stockpiled.

The rollout, announced Thursday, marks a major milestone in the supermarket giant’s efforts to restore consumer confidence in recycling. Shoppers can now drop off clean, dry soft plastics — including chip packets, bread bags, frozen food wrappers and bubble wrap — at dedicated bins near the entrance of participating stores.

Since the scheme’s phased reintroduction in 2024, Australians have already recycled an estimated 40 million pieces of soft plastic, equivalent to roughly 310,000 kilograms, according to Woolworths. The program began as a small trial in five Victorian stores in February 2024 and has steadily expanded amid strong public demand.

“About time,” said one Melbourne shopper who dropped off a bag of plastics at her local Woolworths on Thursday morning. Social media erupted with similar sentiments as news of the expansion spread, with many expressing relief after years of uncertainty following REDcycle’s 2022 collapse.

From Crisis to Comeback

The REDcycle program once operated at more than 1,500 supermarket locations but shut down abruptly in late 2022 after revelations of massive stockpiles — estimated at up to 12,000 tonnes — that could not be processed due to limited domestic recycling capacity. The scandal eroded public trust and left many wondering what to do with everyday soft plastics that cannot go in household recycling bins.

In response, Woolworths, Coles and ALDI formed the Soft Plastics Taskforce, later evolving into Soft Plastics Stewardship Australia (SPSA). The collaborative effort aims to build a more sustainable, industry-led system with better end-market solutions for recycled material.

Woolworths’ latest expansion covers stores in New South Wales, Victoria, Queensland, South Australia and the Australian Capital Territory. Additional locations in Adelaide joined this week, with plans for further growth. The program remains a trial in some areas as infrastructure catches up, but participation has exceeded expectations.

How It Works and What Can Be Recycled

Customers are asked to bring clean and dry soft plastics in a single bag. Acceptable items include plastic bags, food packaging films, cling wrap, biscuit trays and outer packaging from toilet paper or nappies. Items must be free of food residue to avoid contamination.

Collected materials are sorted and sent to specialized recyclers. Woolworths says the plastic is processed into new products such as outdoor furniture, building materials and even new soft plastic packaging, closing the loop where possible. The company is working with partners to develop stronger domestic markets for recycled content.

Participation is voluntary, and not every Woolworths store has bins yet. A full list of locations is available on the Woolworths website. The supermarket encourages shoppers to check before heading out, as availability varies by state and store size.

Environmental and Community Impact

The expansion comes as Australia grapples with broader plastic waste challenges. Soft plastics make up a significant portion of household waste, much of which previously ended up in landfill or was exported. The new scheme aims to divert thousands of tonnes annually while educating consumers on proper preparation.

Environmental groups have welcomed the move but caution that collection is only one part of the solution. Calls continue for stronger national targets on plastic reduction, better product design and investment in advanced recycling technologies. Critics note that without sufficient processing capacity, collected plastics could still face storage issues.

Woolworths has committed resources to scaling infrastructure. The company is investing in collection logistics and partnering with processors to ensure material doesn’t pile up again. Government support, including funding for new facilities, has helped accelerate progress.

Customer Reactions and Broader Retail Response

Public response has been overwhelmingly positive. Many shoppers say the convenience of dropping plastics at their regular supermarket removes a major barrier. Online forums and social media groups dedicated to waste reduction have shared tips and celebrated the return of bins.

Coles and ALDI are also expanding their own collections through the joint taskforce, though Woolworths has moved fastest with the largest number of stores. The coordinated approach aims to provide nationwide coverage over time, though remote areas like Tasmania, the Northern Territory and Western Australia remain challenging due to logistics and processing limitations.

Retail analysts say the program helps supermarkets rebuild trust after the REDcycle fallout and aligns with growing consumer demand for sustainability. Woolworths has set ambitious targets for waste reduction across its operations, including goals for circular packaging.

Challenges Ahead

Despite the enthusiasm, hurdles remain. Ensuring consistent quality of collected material is critical. Contamination can render batches unrecyclable. Education campaigns will be key as the program scales.

Supply chain issues and fluctuating global markets for recycled plastics add complexity. Processors need reliable volumes and stable demand to invest in capacity. The SPSA is working on long-term solutions, including potential mandates for recycled content in new packaging.

Some experts argue that true progress requires reducing soft plastic use at source. Brands are being encouraged to redesign packaging for easier recyclability or to shift toward reusable or compostable alternatives where feasible.

Looking Forward

Woolworths says it will continue expanding the network and monitoring results. Further rollout to more stores is expected in coming months, with data from the trial guiding optimizations. The company is also exploring incentives, such as loyalty program points for recyclers, to boost participation.

For Australian households, the return of soft plastics recycling offers a practical step toward reducing landfill waste. While not a complete solution to the plastic problem, it represents meaningful progress after years of frustration.

As bins fill across 700-plus Woolworths locations, the message from shoppers is clear: convenient, accessible recycling works. With continued collaboration between retailers, government and industry, the scheme could evolve into a model for effective circular economy practices nationwide.

The expansion underscores a broader shift in Australian retail toward sustainability. What began as a crisis has spurred innovation and renewed commitment. For now, millions of Australians can once again drop off their soft plastics with hope that they will be turned into something useful rather than buried in the ground.

NEW YORK — GameStop Corp. shares fell more than 3% in morning trading Thursday, trading around $24.41 after closing at $25.17 the previous session, as investors continued to digest skepticism surrounding the video game retailer’s ambitious $56 billion unsolicited takeover proposal for eBay.

The decline extends a pullback that began shortly after the surprise bid announcement earlier in the week. While the offer initially sparked excitement among retail traders and sent both stocks moving, Wall Street analysts quickly highlighted significant hurdles, including GameStop’s much smaller market capitalization and questions over financing.

GameStop, led by CEO Ryan Cohen, proposed acquiring eBay at $125 per share in a mix of cash and stock on May 3, aiming to create a combined powerhouse rivaling Amazon in e-commerce. eBay’s board confirmed receipt of the proposal but has not indicated support, with analysts assigning low odds of success.

Bid Details and Immediate Market Reaction

The all-in offer valued eBay at roughly $56 billion, more than four times GameStop’s market cap at the time. Cohen positioned the deal as transformative, leveraging GameStop’s cash reserves, collectibles business and loyal customer base with eBay’s established marketplace platform.

eBay shares initially jumped on the news, while GameStop experienced volatility typical of meme stocks. By Thursday, both had given back gains amid growing doubts. “Limited deal odds,” one analyst noted, citing the massive size disparity and potential shareholder dilution.

Michael Burry, the investor famous for “The Big Short,” exited his entire GameStop position following the bid announcement, adding to the bearish sentiment. Burry’s move drew attention given his history with the stock.

Company Fundamentals and Recent Performance

GameStop has been transforming under Cohen’s leadership, shifting toward collectibles, digital initiatives and cost-cutting while maintaining a substantial cash pile. In its fiscal fourth-quarter and full-year 2025 results released in March, the company reported net sales of $1.104 billion for the quarter, down from the prior year, but operating income rose to $135.2 million.

Full-year sales declined modestly to $3.63 billion. The company has emphasized efficiency, store optimizations and exploring new revenue streams. Its next earnings report is anticipated around June 9.

Despite these efforts, core retail sales in physical video games continue facing pressure from digital downloads and shifting consumer habits. The collectibles segment has provided some offset, with strength in trading cards and nostalgia-driven merchandise.

Analyst and Investor Sentiment

Wall Street remains divided. Some see strategic merit in combining GameStop’s brand with eBay’s infrastructure, but most view the bid as aspirational at best. TD Cowen suspended coverage of eBay citing the offer, while others raised price targets on eBay amid the speculation but expressed caution on execution.

Retail investors, many active on platforms like Reddit’s r/Superstonk, remain enthusiastic about Cohen’s vision. The stock retains meme status, with high short interest that can fuel rapid moves. However, broader market participants cite risks including potential significant share issuance to fund any deal and integration challenges.

GameStop’s cash position and lack of substantial debt provide some flexibility, but analysts question whether it could support a deal of this magnitude without heavy dilution — a move that could disappoint long-term holders.

Broader Context in Retail and E-Commerce

The proposal reflects Cohen’s aggressive approach to repositioning GameStop beyond traditional brick-and-mortar gaming retail. With physical game sales declining industrywide, diversification into marketplaces and collectibles makes strategic sense on paper. Yet eBay itself has faced challenges competing with Amazon and specialized platforms.

The bid comes as GameStop continues store rationalization and invests in areas like retro gaming sections and digital trading cards. Earlier this year, the company launched Power Packs for digital collectibles, signaling a push into Web3-adjacent spaces.

Volatility remains a hallmark. The stock has traded between roughly $20 and $36 over the past year, reacting sharply to news flow, short squeezes and executive moves. Thursday’s decline fits a pattern of “sell the news” following high-profile announcements.

Risks and Potential Outcomes

If the eBay deal advances, it could reshape both companies but faces regulatory scrutiny, shareholder votes and integration risks. If it fails, GameStop must demonstrate progress on its standalone turnaround to justify current valuations.

Short interest hovers around 15%, keeping squeeze potential alive but also exposing the stock to sharp drops on negative sentiment. Upcoming Q1 earnings will provide fresh insight into operational health amid the M&A speculation.

For investors, GameStop represents a high-risk, high-reward play tied as much to narrative and activism as traditional fundamentals. Cohen’s track record with Chewy lends credibility to bold moves, but scaling that success in retail and e-commerce remains unproven at this level.

Market Outlook

As trading continues Thursday, volume remained elevated, reflecting ongoing interest from both sides. Broader market conditions, including tech sector performance and interest rate expectations, add another layer to sentiment.

GameStop has defied skeptics multiple times through retail fervor, but sustaining momentum requires tangible progress. Whether the eBay bid becomes a catalyst for reinvention or a cautionary tale of overreach will unfold in coming weeks and months.

For now, the stock’s dip underscores Wall Street’s preference for proven execution over ambitious vision. Meme stock enthusiasts see it as a buying opportunity, while traditional investors urge caution. The coming days, including any response from eBay’s board, could dictate the next chapter in GameStop’s storied volatility.