Since the public release of ChatGPT on November 30, 2022, the world has been mesmerized by the generative power of ChatGPT. There were talks about how AI can improve productivity and fight inflation. AI is biggest technology breakthrough since the advent of Internet, and it will be bigger than Internet. Six months later, Nvidia had a blowout earnings
The stock market rallied hard last week when both sides promised no default, yet without any details. The S&P 500 briefly took out hard resistance at 4200 but it was promptly rejected due to the uncertainty connected with debt ceiling fight. The primary force in this rally is from the AI hype. The NASDAQ 100 took out its August 2022 high, which looks as if
The deposit outflow from the banking system into short term T-bills exposed the weak link in a seemly strong economy and resilient stock market. The continued strength in the NASDAQ is the strongest evidence in asset rotation in the current stage of the stock market and economy. The market is indeed worried about recession therefore funds have flown to the mega
Last Friday JPMorgan Chase upgrade three regional banks and combined with better than feared earnings report from Apple the night before, the market took off as if all ills in the banking sector were fixed. PacWest bank rallied 81.70% on Friday. Nothing fundamentally changed about PacWest overnight, no one wanted hold the PacWest stock into the weekend. Therefore
Microsoft, Google, Meta and Amazon reported Q1 earnings last week. All of them beat earnings expectations. The Street absolutely loved the hype around AI and voted Microsoft as the winner against Google in the AI dog fight. Some even said that Microsoft has had an iPhone moment in AI, meaning AI will be the new growth driver for Microsoft as if
