Markets High -Risk Higher. NoFlation, just lookin' thru it. Java 29May26

Ajouté : 2026-05-31

[00:00:01]Welcome to Job Hunt. Thank you very kindly for joining me. It's May 29th, 2026. It is Friday on a shortened trading week, but it certainly does not feel like it.

[00:00:13]Talk a little bit about the hyperscalers, which are driving the economy at this point in time. Uh that photo of the explosion was of the Blue Origin rocket this morning on the launch pad.

[00:00:27]Couldn't quite clear it before it exploded in flames. Probably going to hit a few things near stock this morning. Trying to compete with Musk, of course. So, let's take a look at what's going forward in these markets this morning.

[00:00:42]A fear greed meter did pull back slightly, but still definitely in greed territory.

[00:00:47]Futures just green going forward in all of this. Again, uh we are talking about the ceasefire.

[00:00:56]Now, going forward, let's talk a little bit about the numbers first. 10-year yield pulling back on this. We've got the relative strength of the dollar back up.

[00:01:06]Crude oil pulling down. Now, this is all giving room for stocks. Although at the moment they're up marginally, so they could could shift a little bit more.

[00:01:16]Gold also is uh getting a little bit of a boost here. Doesn't seem to be much at the time. We'll see if this grows forward. Cryptocurrency hardly noticing. So, kind of flat there at the moment. So, what are we looking at with this?

[00:01:33]United States and Iran reaching a deal.

[00:01:36]Now, this is a draft. It is on the desk of the United States president. It's got to be approved. Uh there are some definite red lines uh that won't be crossed there. So, we'll see if he approves that. The market is already reacting as if he's going to.

[00:01:52]Doesn't really matter. I'll talk about why in a moment.

[00:01:56]We've got some huge stock market warning signs as this says. And this is the last of what you typically see prior to uh a correction, if you will. We're definitely in melt-up territory. So, climbing this wall of worry with the IPOs, initial public public offerings, largest ever, record debt, which is much more important, and I'll speak about that in a moment, and the lowest ever yield for the S&P 500. Now, this is the actual production as this is the 500 largest corporations in the United States. So, inflation across Europe above the ECB target.

[00:02:42]Well, they just need to set their target higher, and that would fix everything.

[00:02:48]That's the type of mentality that we're working towards. Now, I do want to say a quick note on politically uh Nigel, looks like he's losing an edge to Rupert Lowe over in the UK. And this is all to do with social media, a good portion of this. And this is going to kind of guide things forward. Now, if we add AI into this mix, we're going to have some very different-looking politics going forward.

[00:03:16]Calendar for this moment.

[00:03:19]Fed presidents, really, what are we looking out for today?

[00:03:22]PMI and wholesale inventories.

[00:03:25]This really I'm going to say, at the risk of sounding pessimistic, doesn't matter. It doesn't matter because it's inflation forward. Doesn't matter. We are now in a government economy. The rates just don't matter. So, if the Fed comes out and says they're going to hike, or whether they say they're going to cut, it's going to hit marginally initially, and then it's going to go back to as it was.

[00:03:51]This debt no longer matters. We're at a point where the United States cannot service their debt.

[00:03:58]The GDP now the ratio is off. So, what does this mean?

[00:04:05]They're talking about temporary high inflation.

[00:04:10]Now, all of this positivity is that inflation is going to come down. Now, what they mean is that the acceleration of inflation is going to come down. It does not mean prices will necessarily go down. Only this acceleration of this pricing increases. We've got more coming forward because all of this are shutdowns, if you will, with the energy markets, the increase in energy prices.

[00:04:35]So, this is just like utility companies saying that uh they needed an increase to the rates. They don't go down. Just like property taxes. Once they've got this entrenched, it's extremely rare that it ever retraces. So, all of this is pushing forward. We're talking about a real income slump. What this means is inflation is outpacing wages.

[00:05:00]Now, if you get a $100 raise a month in your job, but inflation goes up and costs you 200, you're losing in the long run. And that's what we're seeing as a a trend that is not stopping. And as this trend does not stop, they can say inflation can pull back to their 2% target. But we've already got an increase that's over 70% so far for the year that it's absolutely ridiculous.

[00:05:28]The numbers aren't real. They're only talking about uh acceleration. The only thing that will crush this is the lack of demand. And that means when people stop purchasing. So, being that we're close to this deal, or at least that's what they say. We've got Dow up over 38% pre-market. Now, this company was one that the government has been kind of purchasing shares in there bolstering them. Trump said to purchase them earlier. So, the government is now going to purchase all the corporate uh debt backing them now, not just the treasuries or the government debt. Now, we're spreading over. So, all of this debt likely pushing up compute power, but it's much more than what they need now. So, until the companies don't need the artificial intelligence as much as they're paying, it's not going to pull back. So, real income slumping down. We've got these quotes, "Inflation and higher gas prices are pushing workers to their limit." And they're saying, "I've never felt poor before." The reason is they're putting in different extra hours, taking secondary jobs, which is skewing the unemployment numbers, working as hard as they can, and they still cannot make ends meet.

[00:06:54]We've got the Fed themselves coming out saying that there's a remarkable increase in households skipping meals due to food costs. So, we've got the lower end has just gone beyond the discretionary spent that now they're cutting their meals.

[00:07:10]And in the meantime, Apollo Apollo's private equity. They're what same ones that were in trouble from these distortions in the rates. $36 billion debt deal. They're now purchasing Google chips for Anthropic.

[00:07:24]So, pushing now again this AI narrative, what could possibly go wrong? The same ones that have this leading to all of the debt coming in.

[00:07:35]What is going on in the background?

[00:07:37]Trickle-down economics just purchased another yacht. So, I think this really summarizes what's going on. The let them eat cake economy is what they're calling it now. Wealth effect works perfectly for a few. These are all of the ones at the top, all of the ones that are in the corporations that own these, all of the ones that are in a defense sector getting government contracts are all doing very well, but the real economy and people are not doing as well. So, they're washing out savings, devaluing the dollar, and people are beginning to feel the effects.

[00:08:16]Eventually, they will remember that these people in their production are the ones that are actually putting all of this stuff forward, and they'll need more than artificial intelligence. They need things like food.

[00:08:29]Few other things. Putin is announcing international AI alliance. His argument is saying that they maintain a large portion of energy [clears throat] that's going to be needed forward, and everyone wants a piece of this pie.

[00:08:43]Taiwan forecasting fastest export growth in 50 years on AI demand. They are the largest chip developing sector uh country, if you will.

[00:08:57]With this comes risk. Not just risk about uh debt or defaulting, but risk that another larger company might or country, you could say company, probably Freudian slip there, uh that this country will have a severe interest in you. So, ship tracking data now revealing risk of escalation in this area. I've been talking about this for the last week or two. We're watching more assets shift over there, meaning United States uh military now shifting some from the Middle East. Don't worry, we've still got more war for you. So, don't have to worry about your defense stocks. We're going to uh continue those just in a different area. So, with all of this, we've got positioning being the most important defense for you. What do I mean by that? That means own real assets. Don't own just dollars. Your dollars are being devalued. They're giving to them them to the large corporations first to spend. And by the time you get to spend them, prices have already gone up. So, make sure you use those to purchase real assets that are also going up with these values in the longer term, not day-to-day. If you're not a trader, that's fine. But you've got to invest in these for the longer term. Whether it's real estate, whether it's uh Bitcoin, whether it's gold, silver, whether investing in tools for yourself, your education for your future. All of these are going to be what become very valuable in times of need. So, with all of this, I appreciate you all being here. Thank you all for those of you that are just supporting this channel, buying me coffees. You guys are the best. Until I see you again, have a wonderful weekend.