1. The markets are very certain the Fed is going to proceed with another 25 basis point reduction on wednesday.

But inflation remains “sticky” and Powell will have to find the balance between a strong labor market and inflation a touch firmer than expected.

One option this week would be to cut by a quarter point, then use new economic projections to strongly hint that the central bank is ready to go more slowly on the reductions as policymakers adjust to the policies of the new Trump administration.

Some expect those policies to act as upward pressure on inflation.

2. Barron’s calls for investors to “embrace the bubble.”

“The Trump administration’s deregulation drive and the continued advance of artificial intelligence (AI) could act as rocket fuel and send stocks into the stratosphere—or up 15% to 25%. “

The author cites a number of Wall Street firms and strategists who acknowledge the potential risks ahead for the market but believe the bull run has more to go before it ultimately ends in disaster.

Hey, on Wall Street you’ve gotta make hay while the sun is shining….

3. Quantum computing stocks were dead until 3 weeks ago.

4. NVIDIA CEO Jensen Huang believes in a robotic future.

"One day, everything that moves will be autonomous and all factories will be robotic.

The factories will orchestrate robots, and those robots will be building products that are robotic.

Robots interacting with robots, building products that are robotic."

Project GR00T is NVIDIA's general-purpose, multimodal foundation model enabling humanoid robots to understand and interact with the world around them.

By utilizing GR00T, robots will be able to utilize a wide array of inputs including vision, human language, or demonstration to accomplish unique and human-like tasks.

5. Nvidia is not the most expensive.

6. Europe anyone?

There are signs the gloom about Europe is peaking.

“Investors are max long US equities and short on Europe”, say Citi strategists, pointing to a gap in positioning that is at its widest since the sovereign crisis.

The Stoxx 600 is at a record valuation discount of over 40% versus its US counterpart.

With the euro already near a two-year low, easing rates should maintain pressure on the currency and boost European earnings, especially for exporters selling in dollars, according to Barclays strategists.

Also, China is more likely than not to continue providing incremental stimulus, a further boost for European exporters.

7. And how about Europe, Elon?

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