Simion Furdui @Inv1nctus: "𝙍𝙚𝙘𝙤𝙧𝙙𝙨 𝙖𝙩 𝙩𝙝𝙚 𝙩𝙤𝙥. 𝙒𝙖𝙧𝙣𝙞𝙣𝙜𝙨..."

United Kingdom

𝙍𝙚𝙘𝙤𝙧𝙙𝙨 𝙖𝙩 𝙩𝙝𝙚 𝙩𝙤𝙥. 𝙒𝙖𝙧𝙣𝙞𝙣𝙜𝙨 𝙪𝙣𝙙𝙚𝙧𝙣𝙚𝙖𝙩𝙝. $NSDQ100 hit a fresh record on Wednesday. $SPX500 followed. Good numbers on the surface. But the wholesale inflation data that came out the same day told a different story. Producer prices rose 1.4% in April alone. That is double what economists expected and the biggest single-month jump since March 2022. Year on year, wholesale inflation is now running at 6%. The highest since late 2022. The part that matters most: 60% of that rise came from services. Not just energy. Not just food. Services. That means the inflation from higher oil prices is no longer contained at the pump. It is moving through the system. 𝙉𝙚𝙬 𝙁𝙚𝙙 𝙘𝙝𝙖𝙞𝙧, 𝙙𝙞𝙛𝙛𝙞𝙘𝙪𝙡𝙩 𝙩𝙞𝙢𝙞𝙣𝙜 Kevin Warsh was confirmed as the new Federal Reserve Chair on Wednesday with a 54-45 Senate vote. He takes over this Friday when Jerome Powell's term ends. He is walking into a difficult situation. Employment is stable. But inflation is accelerating again. The 2% target the Fed has been working toward just got further away, not closer. His first comments as chair will be closely watched. Does he lean harder on dollar stability even if it means keeping rates higher for longer? That question matters for every rate-sensitive asset in the market. 𝙏𝙝𝙚 𝙙𝙞𝙫𝙚𝙧𝙜𝙚𝙣𝙘𝙚 𝙬𝙤𝙧𝙩𝙝 𝙬𝙖𝙩𝙘𝙝𝙞𝙣𝙜 Tech keeps climbing. The Nasdaq up 1.2%. Another record. AI enthusiasm is not fading. But the Dow slipped 0.1%. Industrial and traditional companies that actually buy things, ship things, and pay for services are feeling the squeeze in a way that tech platforms are not. That gap is worth paying attention to. Companies with high margins and pricing power can absorb rising input costs. Companies without them cannot. That distinction is becoming more important by the week. 𝙒𝙝𝙖𝙩 𝙩𝙝𝙞𝙨 𝙢𝙚𝙖𝙣𝙨 𝙛𝙤𝙧 𝙩𝙝𝙚 𝙥𝙤𝙧𝙩𝙛𝙤𝙡𝙞𝙤 No panic. But no complacency either. The AI infrastructure thesis remains intact. Structural demand is real and the revenue story is developing . But a 6% wholesale inflation print with a new Fed chair taking over on Friday is not background noise. It is the central risk to monitor right now. Staying selective. Watching how Warsh opens his account. Happy Investing, Simion $MU (Micron Technology, Inc.) $NVDA (NVIDIA Corporation)

Not investment advice. The author may have financial interests in the mentioned instruments.