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Marijuana moved to Schedule III, cannabis stocks surge. (0:15) IBM slips after holding guidance steady. (1:30) Meta faces backlash over employee keystroke tracking. (2:27)

This is an abridged transcript of the podcast:

Our top story so far, cannabis stocks are going — well — higher after the DEA issued an order to reschedule marijuana as a less-dangerous drug.

Major gainers include Canadian licensed producers Canopy Growth (CGC), Tilray (TLRY), Cronos (CRON), Aurora Cannabis (ACB), SNDL (SNDL) and OrganiGram (OGI).

The order, signed by acting Attorney General Todd Blanche, does not legalize marijuana for medical or recreational use under federal law. But it shifts licensed medical marijuana from Schedule I — reserved for drugs with no accepted medical use — to Schedule III, easing regulatory burdens and opening the door to tax relief and expanded research.

The move allows state-licensed medical marijuana companies to deduct business expenses for the first time, removes penalties for researchers using state-approved products, and establishes an expedited DEA registration process for producers and distributors.

President Trump directed his administration in December to move quickly on reclassification.

Blanche said the rescheduling “allows for research on the safety and efficacy of this substance, ultimately providing patients with better care and doctors with more reliable information.”

The decision marks a significant policy shift, aligning federal treatment more closely with the 40 states that already operate medical marijuana programs — while stopping short of full legalization.

Among other active stocks, IBM (IBM) is tumbling after the company said, “it is prudent to maintain our guidance even as the underlying performance and execution are off to an encouraging start.”

Morgan Stanley analyst Erik Woodring said, big picture, “there’s nothing wrong or bad about that outcome,” especially given uncertainty around the Middle East conflict.

But investors had been looking for upward pressure on full-year estimates that didn’t materialize this quarter.

Mobileye (MBLY) is rallying after posting better-than-expected Q1 results, updating its annual forecast, and announcing a new $250M share buyback.

For the full year, Mobileye now expects revenue of $1.935B to $2.015B, up from its prior view of $1.9B to $1.98B.

Hasbro (HAS) is popping after saying Q1 got off to a strong start, with preliminary revenue of about $970M to $985M, driven by continued strength in Magic: The Gathering. The range is well above the $909M consensus.

And Netflix (NFLX) authorized an additional $25B in share repurchases. The company had about $6.8B remaining under its December 2024 buyback plan as of March 31.

And in other news of note, big Zucker is watching you – if you work for him.

Meta’s (META) internal employee-tracking project is drawing pushback inside the company, according to chat logs and messages seen by CNBC.

The system, known as the Model Capability Initiative, was previously reported as part of CEO Mark Zuckerberg’s push to accelerate Meta’s generative AI efforts. It allows the company to capture employee keystrokes and mouse activity across hundreds of websites and applications.

New reporting shows the list of monitored sites — including Google (GOOG), LinkedIn, Wikipedia, GitHub, Slack (CRM) and Atlassian (TEAM), along with Meta-owned platforms — was widely circulated internally after a memo from Meta’s Superintelligence Labs sought to address surveillance concerns.

Some employees reportedly described the effort as “dystopian,” warning that the tracking could expose sensitive data such as passwords or confidential product details.

The data-gathering push comes as Meta works to close the gap with OpenAI (OPENAI), Anthropic (ANTHRO) and Google’s (GOOG) Gemini in the race for AI leadership.