Banking titans in early talks for shared stablecoin
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Welcome to Seeking Alpha's Wall Street Breakfast, where we cover the top news for investors every morning. Good morning. Today is Friday, May 22nd. I'm Julie Morgan. Major U.S. banks eye a crypto collaboration. Microsoft scores a win in the Activision saga. And Disney battles YouTube over a key executive move.

Top U.S. banks are reportedly looking into potentially teaming up to issue a joint crypto stablecoin. The Wall Street Journal reported citing people familiar with the matter that the early conceptual discussions have involved companies co-owned by JPMorgan Chase, Bank of America, Citigroup, Wells Fargo, and other large lenders. Those include Early Warning Services, which runs the digital payment network Zelle, and the payment system called Clearinghouse.

A final decision on the matter would depend on legislative actions for stablecoins and if there's enough demand for such assets. Stablecoins are pegged to a reference asset like fiat currency, commodities, or other financial instruments.

The Trump administration has been working to establish a clear crypto regulatory framework. This week, the Guiding and Establishing National Innovation for U.S. Stablecoins Act of 2025, or the Genius Act, was advanced by the Senate. The bill aims to regulate stablecoin issuance with strict requirements on maintaining reserves, financial risk, and consumer data privacy, among other criteria.

The Federal Trade Commission has ended its attempt to block Microsoft's $68.7 billion acquisition of Activision Blizzard, withdrawing its complaint after losing an appeal to stop the deal. This marks the conclusion of nearly two years

years of regulatory resistance, which began with the FTC's opposition in 2023. Microsoft's president said on Thursday that the FTC's decision to drop the case was a victory for players across the country and for common sense in Washington, D.C. Microsoft cleared legal hurdles in July of 2023 after a federal court denied the FTC's injunction request.

Walt Disney is considering stopping Alphabet to YouTube from appointing long-term executive Justin Connelly to serve as its global head of media and sports. Disney filed a lawsuit against YouTube in a state court in Los Angeles late Wednesday to stop the appointment, claiming breach of contract, unfair competition, and interference with a contractual relationship.

The suit filed on May 21st said that in April of 2025, Disney became aware of YouTube's offer of employment to Connelly. In the complaint, Disney said Connelly signed a new three-year contract in November of 2024 that included a one-time right to terminate in March of 2027. Disney now seeks a preliminary and permanent injunction to prevent Connelly from further breaching the contract.

Connelly, who spent more than 20 years at ESPN and Disney, stepped down earlier this week from his role as head of platform distribution, just as Disney prepares to launch its standalone ESPN sports streaming service. Now for a look at what's trending on Seeking Alpha. SG says Japan could trigger a global financial market Armageddon.

The Supreme Court preserves the Fed's independence and lets Trump shake up other agencies. And a nuclear name surge as the president is set to sign orders to boost the industry.

Now for a look at the markets today ahead of the opening bell. Dow, S&P and Nasdaq futures are in the red. Crude oil is down 0.2% at $61 a barrel. Bitcoin is down 0.5% at $111,000. Gold is up 0.8% at $3,328. The FTSE 100 is up 0.1% and the DAX is up 0.2%.

Ross Stores is on our list of the biggest movers of the day pre-market. ROST is down 11% after the company reported a Q1 top-line beat, but warned that new tariffs could cut Q2 EPS by 11 cents to 16 cents, prompting investor concern.

On today's economic calendar, at 9.35 a.m., the Feds Alberto Musalem and Jeffrey Schmid will participate in a discussion on the economy and monetary policy hosted by the Federal Reserve Bank of St. Louis. At 10 a.m., new home sales. And at noon, the Feds Lisa Cook will speak on financial stability before the 7th Annual Women in Macro Conference.

And finally, you probably already know this, but Monday is a market holiday. So therefore, no Wall Street breakfast on that day. So I'll see you again right back here on Tuesday.

That's it for today's Wall Street Breakfast. Thanks for listening. To take full advantage of Seeking Alpha with coverage on significant stocks and ETFs, become a premium subscriber. Check out seekingalpha.com slash subscriptions. I'm your host, Julie Morgan. Go out and make it a great day.