To The Moon

Another one for the bears. 👇 $S&P 500(.SPX)$ just logged 10 straight sessions with more 52-week lows than 52-week highs while sitting within 2% of its highs. That’s an unusual divergence. Since 1990, this has happened only two other times: December 1999January 2000 Both occurred right around the peak of the Dot-Com Bubble. Does that mean the market is about to repeat 2000? No. But when the index is sitting near highs while breadth underneath is deteriorating this aggressively, it’s a signal worth paying attention to. Bears have a data point. Now they need the price action to confirm it. Markets are always moving - and sometimes, the best move is knowing what works for you. With Treasury yields, oil prices and rate expectations keeping markets

The $S&P 500(.SPX)$ is just 0.7% below its all-time high. But underneath the index, the picture looks very different. 📉 The median $SPX stock is 16% below its 52-week high. Only 51% of $SPX stocks are above their 200-day moving averages. Yet the index is still within roughly 0.5% of a record. That combination is extremely unusual. The last time the market saw a similar setup was March 2000, when the index was near record highs while participation underneath was already deteriorating. 👇 The key takeaway: Index strength ≠ broad market strength. A handful of large stocks can keep the $SPX near its highs even while a much larger part of the market is already correcting. That makes market breadth one of the most important things to watch right now.

📈 Treasury bond volatility is suddenly picking up, while equity-market volatility remains relatively subdued. The divergence matters because bonds sit at the center of financing costs, liquidity and rate expectations across the broader market. 👀 When Treasury volatility rises sharply without an immediate reaction from stocks, the gap can eventually close through a move in equity volatility. That does not guarantee a selloff, but it does suggest that the current calm in equities may be less stable than it appears. 🏦 For $S&P 500(.SPX)$ , the key issue is whether rising rate uncertainty begins to pressure large-cap valuations. $Invesco QQQ(QQQ)$ could be more sensitive given its concentration in growth a

$S&P 500(.SPX)$ is sitting near a record high. But underneath the surface, the market looks very different. Only about 48% of S&P 500 stocks are currently above their 200-day moving averages, meaning roughly 52% are below. The index was just 0.44% from its record close on Tuesday. The last time the S&P 500 was this close to a record while a similar share of its components traded below the 200DMA was March 2000, according to Dow Jones Market Data. That doesn’t tell us what happens next. It does tell us that index strength is being carried by a relatively narrow group of stocks. The headline index can look healthy while the average stock underneath it tells a very different story. That divergence is worth watching. Markets are always mov

The Fed starts hiking. Valuation multiples usually compress. That part is pretty consistent. Looking at the last 5 hiking cycles, P/E contracted every single time. 📉 But here’s the part that matters: P/E compression alone didn’t necessarily mean stocks went down. The median $S&P 500(.SPX)$ 12-month return after the first Fed hike was still +6.8%. So what actually determines what happens next? Earnings. 👇 If earnings keep growing fast enough to offset multiple compression, the market can still move higher. If earnings weaken at the same time valuations are contracting, that’s when the setup becomes much tougher. That’s the piece I’d be watching across: $S&P 500(.SPX)$

Not every Fed hiking cycle plays out the same way. History points to two things that matter a lot for equities: 🌡️ Higher inflation when the Fed starts hiking has generally been associated with weaker stock market performance. ⚡ Faster tightening has also tended to create more pressure on equities. That distinction matters for $S&P 500(.SPX)$ $Invesco QQQ(QQQ)$ $iShares Russell 2000 ETF(IWM)$ A slow, measured hiking cycle is one thing. A Fed that has to respond to already-high inflation with aggressive rate increases is a very different setup. The headline may simply be “Fed is hiking.” The market reaction depends heavily on how hot inflation is and how quickly

Only 22% of firms say they’re using AI in their regular business functions. We’re very early. $SPDR S&P 500 ETF Trust(SPY)$ $Invesco QQQ(QQQ)$ $Philadelphia Semiconductor Index(SOX)$

🔥 The most important number from tonight’s $NVIDIA(NVDA)$ earnings call wasn’t revenue. It was CapEx. CFO Colette Kress said top-five hyperscaler CapEx could hit nearly $800B in 2026 and $1.3T in 2027. That’s the key takeaway. The market had been looking for $1.3T in 2028. Nvidia just pulled that level forward to 2027. In other words, the AI infrastructure spending cycle isn’t slowing down. It’s accelerating. And that has a much broader read-through: 🔹 $Philadelphia Semiconductor Index(SOX)$ — the semiconductor complex 🔹 $Micron Technology(MU)$ — memory and HBM 🔹 $Lumentum(LITE)$ — optical connectivity 🔹

YTD, Goldman $Goldman Sachs(GS)$ ’s Momentum bucket has had 24 distinct 1-day selloffs of more than -5%. That is already more than the prior 5 years COMBINED. “Short term volatility is greatest at turning points and diminishes as a trend becomes established." - George Soros

It’s not just about AI hype. Liquidity remains a major driver of the market. The $S&P 500(.SPX)$ has been closely tracking Global M2 with an approximately 11-week lag, and that relationship is currently pointing toward a potential 8,200 level for the index. At the same time, the AI infrastructure boom is starting to show up in corporate earnings. Massive spending on data centers, chips, power, networking and related infrastructure is creating a broad earnings tailwind across the market. The combination of expanding liquidity and accelerating AI-driven earnings could provide the S&P 500 with another leg higher.