CPI came out this morning. To no one’s surprise, both the MoM and the YoY prints were lower than last month. Also to no one’s surprise, the news is being ignored by the futures. First, Trump has had his finger on the button ever since firing the head of the BLS for reporting accurate but inconvenient truths. Second, an actual drop in inflation hurts the case he so strenuously makes that the Fed should lower rates.
Most of the Mag 7 prices are down sharply since our Jan 14 Look Ahead at 2026. The forecast we detailed back then remains the same.
They’re also down significantly just in the past week. The valuation analysis we shared on Monday remains the same.
A reminder of what we said on Monday. The thesis remains the same.
Stay tuned…