The Inkwell

My optimism wears heavy boots and is loud.

[Macro Alpha @MacroAlphaHQ]

🚨 The Bank of Japan finally stepped in and nuked usdjpy from 162.84 down to 160.90 in hours.

You actually have to respect the execution here.

They let it break a fresh 40-year high just to trap peak momentum shorts before pulling the trigger.

The desk reality of this is brutal for late followers.

The Ministry of Finance is using proxy banks to dump massive dollar reserves straight into the bid.

That 1.18% flash crash instantly triggers margin calls for funds running the yen carry trade.

If youre short JPY to fund US equity longs, a sudden spike in your funding currency means your prime broker auto-liquidates the FX leg.

You end up panic buying yen at the worst possible time just to cover margin.

Watch that 162.84 level.

Japan burned $73 billion in April and May doing this exact routine.

If the market absorbs this wave and reclaims 162.84, the BOJ is officially out of bullets.

[Silver ❤️ @Joey37394977091]

CERN shut down at 8 PM today until the year 2030 for repairs. All of a sudden my cornucopia is appearing again on my Fruit of the Looms…. 🤣🤣🤣

[unusual_whales @unusual_whales]

🚨FROM YESTERDAY🚨

This is huge.

Citadel states Robinhood will close $AMC, $GME, $NOK, $BB, prior to the restrictions, suggesting they knew of the restrictions prior to announcement.

Previously, they denied it.

In recent Twitter posts, they've done the same.

#CitadelScandal

[The Inkwell @the__inkwell]

@SamSam36114 @TheUltimator5 This is when I buy a thousand more shares.

[JustDario @DarioCpx]

Weekend oil traders hanging with teeth and nails on their belief that everything is back to normal in the oil market and anything that occurred since the 27th of February never happened

[JACKIE LE' TITS 👑🌈 @Comedyorwat]

See? It's open manipulation and you don't get to be a part of it

[The Inkwell @the__inkwell]

@MagicCityMemes @SimpleMan887 @CarsonNickelSon My guys. There is already an active SEC investigation, it's notated FOIA request records, that were Denied in Full.

Moreover, if anybody thinks @TheRoaringKitty isn't under a gag order is smoking crack.

[The All-In Podcast @theallinpod]

Ryan Cohen: “Why Does Everyone Want GameStop to Fail?”

$GME CEO @ryancohen:

“The media is an example. Why is it that you've got a ($EBAY) management team with no skin in the game, they're not builders, they haven't built anything themselves before, they've basically just been employees at major companies, they’ve been overpaid, I don't think they've ever broken out a sweat in their entire lives, why does everyone want them to succeed?

But when you have someone that, and by the way, I'm putting $500M of my own money into this transaction, I haven't pulled a penny out of GameStop, and it seems like everyone in the media basically wants us to fail, and wants them to succeed.

And you've got a board that's making hundreds of thousands of dollars a year. They don't buy stock with their own money. They end up showing up to a handful of board meetings, and they're making a fortune. You've got a management team that is grossly overpaid, taking zero risk.

There's nothing more American than basically risking your own capital. So why does everyone want us to fail?

@friedberg:

“I do think that the media, in order to give you credibility, they're gonna have to acknowledge that all of their takes on GameStop just being a meme stock were wrong, and that there is actually a business here, and that there is value being created here, and that they missed that, and they got the story completely wrong.”

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[The Inkwell @the__inkwell]

@Benny7563 @CarsonNickelSon @SimpleMan887 Drop some bombs right befor C35 after major swap expiration (July 3). 😉

[The Inkwell @the__inkwell]

This is important.

[Mark Cuban @mcuban]

It’s time for everyone to realize that the fight against data centers has nothing to do with data centers.

They have become a proxy for the hate towards AI and the concentration and accumulation of wealth it’s creating.

Until those running the big LLMs understand this and start a community tour, not to explain the benefits of AI, it’s too late for that, but to help towns and cities that may be impacted by job losses (and I’m a believer their will be a net gains in a few years), this battle is only going to get more intense and let me tell you now , no matter how much money you pay to buy politicians and races, you will lose.

One thing I have learned is being hated is not good for business.

How can they help ? They will tell you. You will need to do what they ask. Billions of dollars is a lot of money across towns and city programs. Across the major LLMs, it’s a cost of doing business.

At the same time, I would go to LA and NYC and ask the arts and creative unions what kind of programs would help and protect their artists. DO NOT GO TO THE MUSIC OR FILM COMPANIES. that will make it worse.

Don’t try to pay famous people to endorse what you are doing. That’s dumb.

Talk to artists and ask them what you can do to provide financial and creative support. Every creative I know is TERRIFIED about what AI will do to their profession. You must meet them face to face and basically do what they say.

The big LLMs have lost the PR battle. Why ? Because they all suck at putting people first. They have an SV attitude that makes them all think they are John Galt saving the
world

Given the number of data centers and power that is needed, today and going forward , If you don’t kiss the asses of the people that go to work every day, and are just trying to pay their bills, you will fall far far short of the capacity you need to make your business work.

[rnewton @rnewton7777]

Here's a 2-year comparison of GME, BTC, and MSTR.

I feel it is plausible GME is caught in 5 short trades right now.

1. 7-year console cycle trade (might be a basket).
2. Bankruptcy basket since ~2014-2015.
3. BTC basket since early 2025.
4. Convertible Arb (Bond Desks) since late March 2025.
5. M&A Arb (eBay deal) since April 1, 2026.

There could be others but what each of these do is cause competing short interest via various strategies. For example, Bond Desks are a given, 100% confirmation. Upon buying the bonds they shorted the stock. SI went up, CTB up, utilization up. Puts landed all over the chain, etc.

The rest are speculative but you can imagine there likely always exists some rationale to do these style of trades on GME. Either direct short, two-legged stock-option, or even two-stock (Chewy-GME as an example), or multi-stock via either an ETF or custom basket.

And we have various examples of all these things showing up over the years, especially custom baskets based on ETFs (from the Archegos files).

So my thought today is we are getting hammered alongside all the other BTC treasury stocks.

Which makes sense, realistically. GameStop holds 4,710 BTC and is the 20th biggest BTC treasury company. So BTC goes down, GME goes down. Easy trade to just throw us in the basket and push us down alongside everybody else.

But that's a very crowded short-side trade for such a small company. Would explain why for much of the time I've been following the stock, Short Volume Percent has been so high. Aside from just after the ATMs in 2024, shorts are doing the vast majority of the trading on this stock - either shorting or buying to close, then re-opening the trade later. All the data tells me that shorts are just continuing to hammer this thing on all sides, recycle their positions, and incrementally nibbling at their cost basis, scraping profit where they can even if upside-down elsewhere. Just like an efficient long would be doing.

But the company has successfully restored its operation, EPS is no longer negative, so PE is no longer undefined, but instead 15. GameStop with a PE of 15 is pretty remarkable to be honest. And while it isn't at the 175% (lol) institutional ownership of early 2020, it is up from 22% in 2024 to 44%+ today.

So while I have no idea what household investors are doing (DRS has dropped), I do know that institutions are buying while price is flat over 24 months. So where are institutions getting shares in the last year?

Probably short sellers, right?
But Short Interest isn't going up.
Which I find a bit curious.
So maybe household is finally getting shaken out?

Part of my thesis has long been that institutions would go long. Media would eventually switch to darling mode (because they are corporate propaganda). But somewhere along the way they'd need to shake out as many people as possible, because the long side was simply too crowded for them to get their place at the table.

But that still supposes Supply and Demand are fixed and I've also long believed that Supply and Demand don't make sense in a market with short selling in any capacity because the balloon can be blown up as big as people want to pay for it (thus the 175% ownership in 2020). The tug of war is what markets want because they don't care about anything but liquidity, trades, volume. They want to see trades moving on the tape because trades = fees and fees are the lifeblood of a market, not people holding shares or shorts forever.

In a market where everybody holds, there's no long volume. So you need short volume to generate trades.

But the volume is gone again. And that typically happens in these moments.

And the simplest explanation of what happens next and why is that somebody short closes up shop, buys-to-close. Not forever, but for awhile. Because they know that whoever is taking their turn at pushing this thing down by whatever date using whatever means, is not wanting to push much longer or lower. (Cautionary note: we have seen them push very long and far on low volume at times.)

So some short closes in some random burst of volume, either by buying back a massive tranche of short calls, closing out some massive puts, refilling an ETF, or un-shorting an ETF or the stock directly, something happens. CHX volume or something goes crazy. Everybody starts screaming. Everybody that was waiting for the mythical $17 target panics and buys. The rally starts, and the momentum flips, drawing in the options energy from momentum traders.

But that first short to buy-to-close a chunk of their position got the best price point, they wiped the order book, took all the cheapest options at an 8-year IV floor, and front ran the entire world.

And if I were them, I'd probably be pretty good at this and have really deep pockets so I'd probably say, well you know what. Instead of simply buying-to-close our X position, why not also buy-to-open here at the same time another X? Close a bag and buy another.

Because then you are switching from delta short to delta neutral to delta long and you can dump those cheap shares and options on everybody in 11 days.

I don't know. Just some thoughts.

Make good decisions!
(I still don't know what those are.)

Love you all. Christ is King!

[SimpleMan🏴‍☠️ @SimpleMan887]

About GameStop:

There's no way a highly profitable company like GameStop be honestly priced below its cash value.

There is something extremely criminal going on right now.

Algos and MMs are manipulating the price and authorities do not care.

[The Inkwell @the__inkwell]

@xMarketNews He already did.

[JustDario @DarioCpx]

Wow great catch here

[The Inkwell @the__inkwell]

@zebular0 @ryancohen @CNBC 😂😂😂😂

[Jake Friedel @zebular0]

Hey @ryancohen make sure when you release that structure proposal this week to acquire $EBAY, do it in crayon so @CNBC can understand it.

$GME

[JustDario @DarioCpx]

With all due respect, but whoever claims that the traffic in the Strait of Hormuz is back to normal needs a eye check (and maybe a brain check too)

[The Inkwell @the__inkwell]

@TheUltimator5 👀

[JustDario @DarioCpx]

This is the reason why crude oil paper prices remain so disconnected from reality and manipulation still effective: “Every month more than 8 times paper oil trades in the market compared to the physical oil that exists”

[JustDario @DarioCpx]

So basically the Iranians flew to Switzerland to pick up a couple of fat billion $ checks and to tell the US delegation in person that no 60 days negotiation will start till the Israeli army remains in Lebanon

Iranians are playing chess while Forrest Trump is playing checkers