John Authers argues the PCE was hot, but Kevin Warsh's preferred trimmed-mean measure looks more lenient. The market believes the energy shock is over, allowing inflation expectations to fall. However, the AI trade shows hallmarks of a top: extreme volatility in Korea, Micron's rally failing to lift the broader market, and a short-the-Magnificent-7 trade working. A significant correction is likely soon.
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explicit
RUT
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USD
Bloomberg Business Publications
7.0
Financial Media
John Authers 8.5
Financial Media
John Authers 8.5
6/26/2026 6:48:42 AM
metals
Gold price really came off after Kevin Warsh gave his first press conference and chose to come over as a fairly unapologetic hawk.
ndx
The degree of volatility we're seeing in South Korea has all the hallmarks of a top that is fast approaching. A significant correction is likely soon.
wti
People have really got the bit between their teeth that the energy shock is completely over.
yields
Authers says the market has over-adjusted to Warsh's hawkishness, but the trimmed-mean PCE is lenient. Inflation expectations are coming down, but the Fed is seen as hawkish, creating a tug-of-war that keeps yields rangebound.
Anthony Stephens highlights a growing divergence between AI chip makers (beneficiaries) and chip buyers/consumer electronics firms (under pressure). Apple's price hikes due to memory shortages are being punished by consumers, signaling demand limits. Japan's consumer tech (Nintendo, Sony) is lagging, while Korea's chip rally faces moderation. The AI trade is bifurcated, with hyperscalers spending heavily but facing margin pressure.
Yields
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Metals
implicit
Bloomberg
7.0
Financial Media
Anthony Stephens 3.5
Financial Media
Anthony Stephens 3.5
6/26/2026 6:48:42 AM
dxy
Stephens notes Asian currencies continue to struggle despite softer PCE, with foreign selling in Korea grinding on the won. Oil at $70 is still high for the yen and won, implying USD strength against Asian FX.
ndx
Stephens describes a huge divergence between AI chip payers and makers, with hyperscalers under pressure and consumer tech lagging. He notes the semiconductor trade has a lot priced in and risk management is prudent, implying near-term volatility.
rut
Stephens says the Nikkei is set for downside and Korea for moderation. He highlights consumer electronics crunch in Japan and Apple being punished for price hikes, suggesting small-cap and consumer-sensitive names face headwinds.
wti
The market assumption is the Strait is open. I'm not comfortable with that, but that's what's happening.
Nancy Dode advises against overreacting to lagging data. She sees the current tech pullback as an incredible buying opportunity for long-term investors, driven by AI and consumer spending. Geopolitical risk is underpriced because strong corporate earnings are dominating investor focus.
Yields
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implicit
Metals
USD
Independent
1.0
Other
Nancy Dode 7.0
Other
Nancy Dode 7.0
6/26/2026 6:48:42 AM
ndx
This is an incredible buying opportunity. If you're in it for the long term, the technology surge will generally be up.
wti
Dode says geopolitical risk is underpriced because earnings are strong, implying oil risk is being ignored but could re-emerge, keeping prices rangebound near current levels.