this is not sterling winning, it is the euro losing its edge and short sellers being forced to cover while the market ignores a real political question mark. Squeezes fade. This one will too.
Technically, sterling had been grinding higher since November against a 1.16 to 1.163 ceiling. The real fight was late June. Sellers finally ran out of ammo, pound is up 1 percent in 5 days, RSI at 73, overbought.
None of this came through a regulatory filing, it's one man's newsletter, so treat the numbers loosely. But the core point stands: a dump truck company priced like software is a crowd chasing a story, and that story always runs out of road eventually.
Michael Burry just shorted Caterpillar for the first time in his life. He's only ever owned this stock, never bet against it. Something is very wrong with this AI rally.
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$CAT
Bulls disagree. They say AI data centres genuinely need off grid power and Caterpillar's cash flows prove it. But even they admit the price only works if hyperscaler spending never slows.