Here it is…
Fed’s first month of T-Bill purchases. $40 BILLION over the next month. Starts today at 9am.
Update: the world didn't end. New all-time closing high
Source: Charlie Bilello
SMALL IS BIG...
The Russell 2000 US small-caps index is extending the break out move. This looks like an inverse head and shoulders formation. Plenty room to run before we reach trend channel highs. Source: LSEG, The Market Ear
US cyclicals vs. defensives up 13 days in a row.
Goldman's Coppersmith: "You don’t get moves like this unless the market is starting to lean into a better growth outlook". Source: LSEG, The Market Ear
They are all cutting target price on Oracle $ORCL...
Goldman PT New $220, Old 320 JPMorgan PT New $230, Old 270 Cantor PT New $320, Old 400 Barclays PT New $310, Old 330 Evercore PT New $275, Old 385 Scotiabank PT New $260, Old 360 TD Cowen PT New $350, Old 400 Melius PT New $260, Old 400 Source: zerohege
The Dow started trading on May 26, 1896.
Yesterday it closed at the highest level ever. Congrats to investors who used the events on this chart as reasons to buy, not panic. Source: Ryan Detrick
Oracle $ORCL is exposed to massive concentration risks..
It has $125 billion debt, of which $25 billion is due in three years. Meanwhile, FCF is already negative, and its largest customer, OpenAI, needs to raise $207 billion by 2030 to meet its obligations. Source: Oguz O. | 𝕏 Capitalist 💸 @thexcapitalist FT
SUMMARY OF FED CHAIR POWELL'S COMMENTS:
1. Downside risks to employment have risen 2. Inflation in the US "remains somewhat elevated" 3. Interest rates are now in a "plausible range of neutral" 4. GDP growth forecast for 2026 has been revised up 5. Readings on inflation are higher as goods inflation has "picked up" 6. Three Fed members dissented today's decision The Fed is divided (but less than many feared). Source: The Kobeissi Letter
