Syz the moment

The Federal Reserve announced it will end Quantitative Tightening (QT) and begin Quantitative Easing (QE) again — calling it a “technical adjustment.” But let’s be honest: That’s easing. And easing into this environment is something we’ve rarely seen in history. Let’s unpack what this means 👇 📉 Normally, QE happens during crisis. Low valuations, weak growth, wide credit spreads, and falling inflation. QE was meant to stimulate into a depression. 📈 This time is different. Stocks are near record highs AI and tech valuations are in bubble territory Unemployment is near record lows Inflation is still above target Credit and liquidity are abundant So if the Fed starts buying bonds and adding liquidity now — while deficits stay huge — it’s essentially monetizing government debt during a boom. That’s not “technical.” That’s a classic late-stage Big Debt Cycle move — where monetary and fiscal policy collide to keep the system afloat. 🧩 The mechanics: QE pushes real yields down Financial assets inflate (especially tech & gold) Wealth gaps widen Inflation reawakens — eventually forcing the Fed to tighten again ⚠️ And that’s when bubbles pop. So yes — the Fed may be stimulating into strength, not weakness. Into a bubble, not a bust. Into risk, not safety. This is the kind of pivot that separates traders from historians.

Back in June, Alphabet and Meta were seen as roughly on par, w/only ~$200bn separating them in market value. Just 4 months later, the picture looks completely different – the gap has exploded to nearly $1.8tn. GOOG is now 2x the market cap of META. (HT Goldman) Source: Holger Zschaepitz @Schuldensuehner

When the world’s most valuable tech CEO says the US might lose the AI race, people listen. At the FT’s Future of AI Summit, Huang didn’t hold back: ⚙️ China’s advantage → lower energy costs + looser regulations. ⚡ “Power is free” — local governments are literally subsidizing electricity for data centers (ByteDance, Alibaba, Tencent). 🇨🇳 Chinese firms are ramping up domestic AI chips — even if they’re less efficient than NVIDIA’s, they’re cheap to run. 🇺🇸 Meanwhile, the US faces export bans, fragmented AI rules, and what Huang calls “cynicism.” His message? “We need more optimism.” The irony: The US bans NVIDIA’s best chips from China to protect its lead. But by doing so, it might be accelerating China’s self-reliance. Huang’s warning hits hard: regulation, energy policy, and mindset could decide who truly leads in AI — not just who has the best chips. 💬 What do you think — is Huang right? Will policy and power matter more than chips and code in the next phase of the AI race? See the link to FT article >>> https://lnkd.in/eas5VKjj

Robinhood $HOOD's revenue has jumped $300M in 2022 to $1.27B in 2025 📈 Source: Stocktwits

Back then, we saw a 10% correction in the S&P 500. $SPX Source: Charlie Bilello

"Stop thinking of your job as 1 big thing. Instead, think of your job as a bundle of tasks" "In the future, managing robots will be more important than managing humans" "GPT is the new MBA" Source: @Uncle Shaan on X

Source: Tar ⚡@itsTarH

Can't wait for The Big Short 2 Source: Wall Street Memes on X