Higher inflation → Fed rate hikes → Higher borrowing costs → AI companies forced to pull back spending → NVIDIA AND AI STOCKS GET SMOKED
CoreWeave is the canary in the coal mine the market is reacting to. It plans to borrow $80 billion over the next three years, and rising borrowing costs could threaten its ability to keep buying Nvidia’s chips.
But this isn’t just about CoreWeave.
The entire AI boom depends on massive amounts of debt-funded infrastructure spending. If interest rates rise, borrowing gets more expensive across the AI industry → Data center construction slows → Chip purchases decline → Nvidia and its suppliers come under pressure.
Higher rates are the biggest threat to the AI boom.
HIT FOLLOW and I’ll help you understand how the not-so-obvious pieces of the market fit together.
#AIStocks #Nvidia #Inflation #StockMarket
Educational purposes only. This content is not intended to provide individualized investment, tax, or financial advice.
CoreWeave is the canary in the coal mine the market is reacting to. It plans to borrow $80 billion over the next three years, and rising borrowing costs could threaten its ability to keep buying Nvidia’s chips.
But this isn’t just about CoreWeave.
The entire AI boom depends on massive amounts of debt-funded infrastructure spending. If interest rates rise, borrowing gets more expensive across the AI industry → Data center construction slows → Chip purchases decline → Nvidia and its suppliers come under pressure.
Higher rates are the biggest threat to the AI boom.
HIT FOLLOW and I’ll help you understand how the not-so-obvious pieces of the market fit together.
#AIStocks #Nvidia #Inflation #StockMarket
Educational purposes only. This content is not intended to provide individualized investment, tax, or financial advice.
608
Inflation is Hitting USA , India , Australia and the Eurozone . It’s becoming a global problem that is affecting everyone . The price of fuel is up 20% plus . It’s not just that though , all prices are in the rise . Nigel Green deVere CEO explains what’s happening and what to do
#inflation #markets #stock #deVere #financialfreedom
#inflation #markets #stock #deVere #financialfreedom
476
$BTC may fall with markets in the short term, but dollar debasement and Treasury intervention in the bond market make the long-term case
Everybody knows that inflation is bad. The cost of the things that you buy has gone up and it continues to go up. Does it really matter to you if CPI, PPI, PCE are 2 or 2.5 or 3.4 or 3.1, or what the data inputs are? Or does it matter to you your steak costs more today than it did a month ago. Yes, in the very short term, Bitcoin may move down with the rest of the markets, which are obviously all dumping today on this news. But what's more important is the very phenomenon behind it. We know that eventually the government is going to have to be irresponsible and print more money. We know that the Treasury is intervening in the bond market, that is the actual long-term case for Bitcoin. All of these fabricated news headlines and numbers are actually the reason that you should buy and hold Bitcoin in the long term. I'm old enough to remember last week when we were talking about the cooked numbers that meant that they could cut rates. Now we get to talk about the slightly cooked numbers that are probably not as bad as they seem that could make them continue to raise rates.
#Bitcoin #Inflation
Everybody knows that inflation is bad. The cost of the things that you buy has gone up and it continues to go up. Does it really matter to you if CPI, PPI, PCE are 2 or 2.5 or 3.4 or 3.1, or what the data inputs are? Or does it matter to you your steak costs more today than it did a month ago. Yes, in the very short term, Bitcoin may move down with the rest of the markets, which are obviously all dumping today on this news. But what's more important is the very phenomenon behind it. We know that eventually the government is going to have to be irresponsible and print more money. We know that the Treasury is intervening in the bond market, that is the actual long-term case for Bitcoin. All of these fabricated news headlines and numbers are actually the reason that you should buy and hold Bitcoin in the long term. I'm old enough to remember last week when we were talking about the cooked numbers that meant that they could cut rates. Now we get to talk about the slightly cooked numbers that are probably not as bad as they seem that could make them continue to raise rates.
#Bitcoin #Inflation
4
The market is sending a clear signal about the Fed’s next move.
Short-term Treasury rates stayed high, while 20- and 30-year Treasury rates fell.
Why? Higher interest rates make borrowing more expensive for consumers and businesses, slowing spending, investment, and economic growth.
Meanwhile, stocks sold off, closing at session lows.
FED RATE HIKES = THE BRAKES ON THE ECONOMY
And the market responded accordingly today.
HIT FOLLOW TO BECOME A BETTER INVESTOR
#StockMarket #FederalReserve #Inflation #Investing
Short-term Treasury rates stayed high, while 20- and 30-year Treasury rates fell.
Why? Higher interest rates make borrowing more expensive for consumers and businesses, slowing spending, investment, and economic growth.
Meanwhile, stocks sold off, closing at session lows.
FED RATE HIKES = THE BRAKES ON THE ECONOMY
And the market responded accordingly today.
HIT FOLLOW TO BECOME A BETTER INVESTOR
#StockMarket #FederalReserve #Inflation #Investing
2K
Inflation came in hot. The bond market is selling off. And the Fed may have to hike rates again.
50% chance of October rate hike. 97% chance by December.
66% chance of 2nd hike in January.
54% chance of 3rd hike in March!
War, oil, and AI spending are fueling inflation. Investors need to pay attention.
#Inflation #FederalReserve #StockMarket #Investing
Educational purposes only. This content is not intended to provide individualized investment, tax, or financial advice.
50% chance of October rate hike. 97% chance by December.
66% chance of 2nd hike in January.
54% chance of 3rd hike in March!
War, oil, and AI spending are fueling inflation. Investors need to pay attention.
#Inflation #FederalReserve #StockMarket #Investing
Educational purposes only. This content is not intended to provide individualized investment, tax, or financial advice.
2.6K