Green Lantern for Stupid

At the start of the year, Micron was outside the top 100 in terms of S&P 500 market capitalization. Since then, Micron has rallied 140% and is now in the top 15. The hottest region to invest in? The South Korean Kospi, 50% of which is Samsung and SK Hynix. Last week, Cerebras Systems (CBRS) set their IPO Price at $185. It opened at $350, 90% above the settled price. 

Me: Not sure there is much more “easy money” left to make.

SpaceX: Data Centers in Space. Mining Asteroids. Human Colonization of Mars.

No, really.

Alright, forget the green light for stupid. This is the green lantern for stupid.

Now anything tangentially related to rockets and space exploration is through the roof… I guess in an attempt to price-in how much market share these young companies are positioned to capture beyond Earth’s orbit. 

Intuitive Machines (LUNR) — up 40% this month. Redwire (RDW) — up 75%. While these companies aren’t pre-revenue, they may as well be pre-market cap. Neither has broken $10B. If you’re dancing with these names, know where the exit is before the music stops. Put another way, fall in like; don’t fall in love.

Warsh Up To The Test?

Kevin Warsh is officially the 17th Chairman of the U.S. Federal Reserve. He does so at a time where Fed independence remains in question, yields are rubbing against decade highs, and the economy is at an AI-inflection point.

It would appear as though the stock market has a habit of testing the most powerful person in finance.

In the three months following a new Fed Chair, the S&P 500 sees what the chairperson is made of — to the tune of a 12% drop on average. I am not cheering for a correction; however, silver lining: the market is getting a bit frothy. We do not want it to overheat. A reset would be healthy… albeit painful. Most medicine doesn’t taste good; this is no different.

Monday

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Tuesday

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Wednesday

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Thursday

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Friday

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