Neel Kashkari

Kashkari states, "The president's war has obviously disrupted oil prices... That means gasoline prices go up. So that means inflation goes up." He notes a "hockey stick action in gasoline prices" over the last 24 hours. The Fed acknowledges this is a supply-side shock similar to Russia-Ukraine. If the war continues, oil supply remains constrained while risk premiums spike. This directly benefits the underlying commodity (USO) and the producers (XLE/CVX) who gain pricing power. LONG Energy to hedge against the "new shock" inflation. Rapid de-escalation of the conflict or demand destruction from a recession.

Kashkari argues that AI is "massively capital intensive" with "trillions of dollars going to build data centers." He explains that capital is being reallocated: "apartment buildings that would have been built... that capital is now going to shift over and build data centers." The Fed President is confirming a macro-level shift in capex. The winners are not just the chipmakers, but the physical infrastructure providers building the grid and cooling systems for these data centers. LONG Data Center Infrastructure (Industrials/Utilities) as the primary recipients of this capital shift. AI capex bubble bursting or regulatory crackdowns on energy usage.

Kashkari argues that AI is "massively capital intensive" with "trillions of dollars going to build data centers." He explains that capital is being reallocated: "apartment buildings that would have been built... that capital is now going to shift over and build data centers." The Fed President is confirming a macro-level shift in capex. The winners are not just the chipmakers, but the physical infrastructure providers building the grid and cooling systems for these data centers. LONG Data Center Infrastructure (Industrials/Utilities) as the primary recipients of this capital shift. AI capex bubble bursting or regulatory crackdowns on energy usage.

Kashkari states, "The president's war has obviously disrupted oil prices... That means gasoline prices go up. So that means inflation goes up." He notes a "hockey stick action in gasoline prices" over the last 24 hours. The Fed acknowledges this is a supply-side shock similar to Russia-Ukraine. If the war continues, oil supply remains constrained while risk premiums spike. This directly benefits the underlying commodity (USO) and the producers (XLE/CVX) who gain pricing power. LONG Energy to hedge against the "new shock" inflation. Rapid de-escalation of the conflict or demand destruction from a recession.

Kashkari argues that AI is "massively capital intensive" with "trillions of dollars going to build data centers." He explains that capital is being reallocated: "apartment buildings that would have been built... that capital is now going to shift over and build data centers." The Fed President is confirming a macro-level shift in capex. The winners are not just the chipmakers, but the physical infrastructure providers building the grid and cooling systems for these data centers. LONG Data Center Infrastructure (Industrials/Utilities) as the primary recipients of this capital shift. AI capex bubble bursting or regulatory crackdowns on energy usage.

Kashkari states, "The president's war has obviously disrupted oil prices... That means gasoline prices go up. So that means inflation goes up." He notes a "hockey stick action in gasoline prices" over the last 24 hours. The Fed acknowledges this is a supply-side shock similar to Russia-Ukraine. If the war continues, oil supply remains constrained while risk premiums spike. This directly benefits the underlying commodity (USO) and the producers (XLE/CVX) who gain pricing power. LONG Energy to hedge against the "new shock" inflation. Rapid de-escalation of the conflict or demand destruction from a recession.