Wednesday Watch

Around X:

• @Business  

• Top US officials spent Monday and Tuesday offering new details on the role the US military will play in helping ships pass through the Strait of Hormuz. Hours later, Trump shelved the operation entirely.
• Samsung has reached a $1 trillion market valuation after booming demand for chips used in AI saw the world’s largest memory maker’s stock more than quadruple over the past year.
• Donald Trump will host Brazilian counterpart Luiz Inacio Lula da Silva Thursday, amid tensions over the Iran war and its impact on the global economy. 
• Get up to speed on what's moving global markets. 
• Here’s what you need to know to start your day. 

• @ZeroHedge

• Trump Pauses Project Freedom Amid "Great Progress" Towards 'Complete & Final' Agreement With Iran. 
• SAMSUNG RISES 9.5%, HITS $1T MARKET CAP ON MEMORY CHIP BOOM.
• Trump DOJ Probes 36 Illinois School Districts For Secretly Transitioning Kids Behind Parents' Backs.
• aka SPR to Asia. (graph)  
• Glencore's Kazzinc, Kazakhstan's largest producer of zinc, lead, copper, gold, and silver just had a deadly explosion. 2 dead, 5 injured, building partially collapsed. The critical minerals supply chain isn't just concentrated. It's fragile. (video) 
• Thank you Germany and Britain for sacrificing your economies to save the planet. China appreciates you exporting your manufacturing to provide jobs for their citizens. 
• US Intelligence Only Sees Limited Additional Damage To Iran Nuclear Program Since Last June.
• For the record. Iran’s Historic Mistake. Carl von Clausewitz wrote that war is “the continuation of politics by other means.” President Trump grasped this from the start: Operation Epic Fury exists to stop Iran’s nuclear march and restore deterrence, not to pursue the familiar neocon fantasy of occupation and nation-building. Epic Fury is peace through strength in action: credible force applied decisively when adversaries mistake restraint for weakness. By weaponizing the Strait of Hormuz, Iran committed a strategic blunder of historic proportions. Tehran meant to punish America. Instead, it exposed every power built on imported energy, vulnerable sea lanes, and the delusion that globalization repealed geography. China is exposed. Europe is exposed. Britain is exposed. Iran has created a world where hard resource power decides outcomes.
• How A Musk Victory Vs. Altman Would Reset America's AI Roadmap.
• ISO New England Trims 10-Year Forecast Based On Electrification Outlook.
• "No Quick Fixes": Supply-Chain Deep Dive Shows Beef Prices To Remain High.
• NIH Virologist Vincent Munster Caught Smuggling Deadly Viruses Into U.S., FBI Investigating.
• "F**k This $h1t!": Oil & Yields Drop, Stocks & Crypto Pop As Iran 'Truce' Holds, US Micro/Macro Strong.    

• @CNBC

• Wednesday's big stock stories: What’s likely to move the market in the next trading session.
• Bitcoin treasury firm Strategy breaks from 'never sell' approach to the flagship crypto.
• Asia-Pacific markets set to track Wall Street gains as Trump signals de-escalation in Iran conflict.
• S&P 500 futures are little changed after broad-market index hits a fresh record: Live updates.
• Stocks making the biggest moves after hours: Advanced Micro Devices, Super Micro Computer, Arista Networks & more.
• Aluminum prices are surging. Here's how companies are handling the costs.
• Data suggests 'hiring recession' may be behind us — but the Iran war poses job market risks.
• AMD tops estimates for first quarter as data center revenue jumps 57%.       

• @TheTranscript 

• $AMD CEO: "We delivered an outstanding first quarter, driven by accelerating demand for AI infrastructure, with Data Center now the primary driver of our revenue and earnings growth".
• Arista CEO: "Arista is off to a strong start in Q1 2026". $ANET: -5% AH.
• Super Micro CEO: "Supermicro's transformation into a total datacenter infrastructure provider is accelerating. Our margin recovery and the rapid growth of our DCBBS business demonstrate that our business remains robust." $SMCI: +16% AH. 

• @WallStEngine

• $AMD: “In the past, the CPU-to-GPU ratio was primarily just as a host node in like a 1-to-4 or 1-to-8 configuration. Now [it is] changing and getting closer to a 1-to-1 configuration. You can even imagine if you get lots and lots of agents that you could have more CPUs than GPUs”.

Night Trading 

• Asian equity indices are +1.0% to +2.0% on average. 
• Asia Ex-Japan Investment Grade CDS Index 74.75 -2.0 basis points. 
• China Sovereign CDS 42.75 -.75 basis point.
• China Iron Ore Spot 109.9 USD/Metric Tonne +1.3%. 
• Crude Oil 100.60/bbl. -1.7% 
• Gold 4,643.3 USD/t oz. +1.7%. 
• Swiss Franc/Offshore Chinese Renminbi Cross 8.73 +.07%.
• Bloomberg Emerging Markets Currency Index 35.49 +.1%.
• Bloomberg Global Risk-On/Risk Off Index 117.8 -.3%
• US 10-Year Yield 4.42% n/a.
• Japan 30-Year Yield 3.75% n/a. 
• Volatility Index(VIX) futures 20.7 -1.6%.
• Euro Stoxx 50 futures +.65%. 
• S&P 500 futures +.27%.
• NASDAQ 100 futures +.55%.

Morning Preview Links

BOTTOM LINE: Asian indices are modestly higher, boosted by consumer discretionary and technology shares in the region. I expect US stocks to open modestly higher and to maintain gains into the afternoon.  The Portfolio is 100% net long heading into the day.