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[The Kobeissi Letter @KobeissiLetter]

BREAKING: Amazon stock, $AMZN, surges over +7% after reporting stronger than expected Q2 2026 earnings.

[The Kobeissi Letter @KobeissiLetter]

BREAKING: President Trump issues a statement on Israel's attack on Beirut this morning.

[Insiderwave @insiderwave]

Remember this suspicious trade?

She bought this stock at $14.

We notified you and made a follow up post 4 months ago when the stock was trading at ~$40.

It’s up even more since, trading at $73.78.

That’s more than 5x in just a few months.

How did she do it?

[The Kobeissi Letter @KobeissiLetter]

What just happened?

At 9:45 AM ET, the S&P 500 was trading nearly +1.5% higher and tech stocks were sharply higher.

At 10:40 AM ET, selling pressure began to intensify without any major headlines in one of the biggest reversals of the year.

Just 2 hours later, President Trump said Iran shot down a US helicopter "last night" and that the US must "respond to this attack."

This sent the S&P 500 to a new low of the day, down 240 points since 9:45 AM ET.

In just 3 hours, the S&P 500 has erased -$2.1 trillion in market cap.

Volatility is back.

[The Kobeissi Letter @KobeissiLetter]

There is a near-perfect correlation between US oil prices and US CPI inflation, as shown in our below analysis.

Oil prices have averaged near $100/barrel since March 6th, or 79 days.

The longer this persists, the more inflation we will see.

Asset owners are the only winners.

[The Kobeissi Letter @KobeissiLetter]

The US AI boom has a hardware problem:

US imports of major electrical equipment rose +4.7% YoY in 2025, to $411 billion.

This equipment, including transformers, switchgear, and batteries, is needed to power the data centers that run AI systems.

Since 2020, imports have risen +$180.8 billion, or +78%.

The surge has been driven by AI companies racing to build data centers as domestic manufacturing cannot keep up with demand.

As a result, ~50% of all US data centers planned for 2026 are expected to be delayed or canceled because this equipment is in shortage.

We need more hardware.