"Whereas investors were bidding up everything in this segment earlier this year, they are now being more discerning, resulting in considerable dispersion of valuations among these stocks as well as a decline in price-earnings multiples."
-Pictet
Data centers are not really causing water problems.
You shouldn't put one just anywhere. But even if they triple by 2030, they’d require just 8% of the water consumed by US golf courses, as I reported for @PirateWires based on @AndyMasley's work.
Stop the AI water doomerism.
"Widespread interest rate cuts, as shown in the chart below, should deliver a global cyclical upswing that equity markets start to price in ahead of time."
@Lvieweconomics via @johnauthers
🤖 Goldman lo tiene claro: el boom de la IA aún está lejos de ser una burbuja.
Según el banco, la inversión en IA generativa ronda solo el 1 % del PIB, muy por debajo de los grandes impulsos tecnológicos del pasado (como los ferrocarriles, el motor eléctrico o Internet), que alcanzaron entre el 2 % y el 5 %.
En otras palabras: esto no es el final del ciclo de la IA… podría ser solo el comienzo, en su opinión.
@TheShortBear@NDR_Research Yup it’s a bloodbath and I LOVE it.
In NVO, REGN, BMY, OSCR, PRTA, and RCKT at the moment but may need to pick up some UNH on Monday as well for good measure.
All 8 of my canaries just flew above trend.
Semis, Small Caps, Banks, Biotech — everything's back in gear.
This isn’t rotation. It’s participation.
The internal engine is running hot.
👉 https://t.co/qhiBwf6KHl
"This week Bank of America’s Savita Subramanian has raised her end-year forecast from 5,600 to 6,300, while Goldman Sachs’ David Kostin moved his to 6,600, from 6,100."
@johnauthers
"Our view is that tariff inflation has been delayed rather than cancelled. Because US companies built up big inventories in anticipation of the tariffs, they have been able to take their time in passing on these charges"
@darioperkins
One of the most compelling bullish signals still going strong is how stocks are doing relative to the S&P 500 — and that trend has been solid ever since the market stopped going down in early April.
Especially the relative strength out of areas like Technology and Industrials really stand out.
Is China dodging US tariffs?
China's exports to the US fell -43% YoY in May, representing a $15 billion decline in trade value.
However, the country’s total exports jumped +4.8% during the same period, per official Chinese data.
This comes as shipments to the Association of Southeast Asian Nations trade bloc and the EU surged +15% and +12%, respectively.
Furthermore, $3.4 billion of China’s exports were rerouted via Vietnam in May, a +30% YoY increase.
Trade routed through Indonesia also saw a notable jump of +25% YoY.
Meanwhile, the US reached a trade deal with Vietnam last week that places a 40% tariff on goods rerouted through the country, aimed largely at curbing Chinese re-exports to the US.
The Vietnam deal appears to be a "proxy trade war" with China.