Welcome to Seeking Alpha's Wall Street Lunch, our afternoon update on today's market action, news, and analysis.

Good afternoon. Today is Tuesday, May 12th, and I'm your host, Kim Kong. Our top story so far, the bid has been rejected. The question now, does this move towards an auction?

eBay turned down GameStot's $56 billion unsolicited takeover proposal, calling it neither

credible nor attractive.

In a letter to CEO Ryan Comen, eBay's board cited the company's standalone prospects,

uncertainty around GameStot's financing, the leverage and operational risks of a combined

entity, and concerns around governance and

executive incentives. The board said it remained confident in eBay's current management and

long-term strategy. Gamestaff's offer was valued at roughly $125 per share in cash and stock.

Shares of both companies are trading slightly lower. On the economic front, retail inflation

accelerated in April as higher energy prices filtered through both headline and core measures.

Core CPI rose 0.4% for the month, above the 0.3% consensus, and up from 0.2% in March.

The annual rate ticked up to 2.8%.

Headline CPI increased 0.6% month over month, bringing the annual rate to 3.8% in line with expectations.

Airline fairs jumped 2.8% as jet fuel costs climbed, while categories such as household furnishings, personal care, and apparel, also posted firm gains.

Core services excluded housing rose 0.45%, one of the strongest readings of the year.

Skylight White End of Reagan Capital said the inflation surge is energy-driven rather than structural,

but still likely keeps the Fed on hold through the summer.

Fed Fund's futures showed odds of a hike this year rose to 30% from about 20% the previous session.

Weinin added that rising food and materials input costs could complicate

the policy outlook as those pressures are difficult to offset with interest rates alone.

Among active stocks, quantum computing is rallying after reporting a nearly 9,000% jump in Q1 revenue.

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