Breadth within sp500 is narrowing
Source: Barclays, RBC
Everyone says they want AI adoption. Until metrics become the goal instead of the outcome.
Amazon employees are using AI agents to automate unnecessary work, by how AI usage is tracked through token consumption metrics, leaderboards, and adoption targets. This creates incentives to optimize for measured activity rather than real value, a classic case of people gaming whatever is being measured. As a result, employees focus on using AI—and being seen using it—rather than improving outcomes, leading to behaviors sometimes called “tokenmaxxing.” The situation mirrors past cases like vanity KPIs, meeting overload, and lines-of-code metrics. The key lesson is that AI adoption should be measured by business impact, not usage. Source: FT
Inflation is now outpacing wages in America for the first time in 3 years.
Before the US-Iran war started in late February, inflation was sitting at 2.4%. It has risen to 3.8% in just two months, driven almost entirely by the energy price shock from the war. Real average hourly wages fell 0.5% in April alone and are now down 0.3% annually. Americans are earning more dollars but buying less with them. Source: Bull Theory
Europe is running out of jet fuel.
Source: Hedgeye
The Roundhill Memory ETF $DRAM is up 98% since launching 5 weeks ago, easily the best perf ETF out of the gate (while also being the fastest growing ETF- at least to $6.5b).
Source: Bloomberg, Eric Balchunas
The only precedent for when the S&P 500 has been at record highs while fewer than 60% of stocks were above both their 50- and 200-day moving averages: December 1998-March 2000.
Source: Bespoke Invest
21Shares lnc. is going live TODAY 12th of May with their Hyperliquid #ETF Ticker $THYP US Fee 30bps.
Source: Bloomberg, Eric Balchunas
Stocks vs. Housing Performance since the 1970s
Source: Barchart
