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BCA Chief on AI Frenzy Peak: Currently a Profitability Bubble, Not a Traditional Valuation Bubble; AI Demand Metrics to Signify Market Stage

56 minutes ago

May 30 – Peter Berezin, Chief Global Strategist at BCA Research, analyzed that the current AI bubble is primarily a profit bubble rather than a traditional valuation bubble. Unlike many past stock market bubbles defined by sharp spikes in price-to-earnings (PE) ratios, AI-related sectors – especially the semiconductor sector – boast relatively reasonable valuations right now. The catch? Profit expectations are overly optimistic and unsustainable. Berezin highlighted a historical parallel: ahead of the 2008 financial crisis, real estate and banking sectors appeared to have low PEs but rested on unsustainable profit surges. Once profits failed to materialize, those bubbles burst. He noted semiconductor sales are growing parabolically, and current AI demand indicators do not point to an imminent bubble collapse – though he emphasized all bubbles ultimately end. Most notably, Berezin urged investors not to overrely on Wall Street analysts’ profit forecasts. In past cycles, stock prices have often plunged significantly before profit expectations begin to decline; stocks typically peak months before forward earnings per share (EPS) starts to drop. Waiting until EPS actually falls to sell will result in heavy losses, he warned. The key priority for current investment strategies: proactively track shifts in AI demand indicators.
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Loracle Trimmed HYPE Short Position for 5 Hours Straight, Market Watches $59 Million Spot Movement

As of May 30, per monitoring from Hyperinsight (https://t.me/HyperInsight), HYPE’s largest short seller “Trader Loracle” has unstaked 893,000 HYPE tokens today. These tokens were moved to their HyperEVM address, totaling around $59 million in value. No fresh activity has been observed on their spot trading position. Notably, Loracle’s short positions have been trimming over the past five hours, with each reduction ranging from $400,000 to $1.4 million. Their current open short positions are as follows: - HYPE short position: $1.138 billion, with an unrealized loss of $36.6 million. Out of their $27 million collateral, roughly $23 million is being used to maintain this position; - BTC short position: $23.8 million, opened at a price of $75,280.1, generating an unrealized profit of approximately $600,000. Over the past month, this whale unlocked a total of 1.115 million HYPE tokens in two separate events, worth an estimated $63.51 million. They sold 557,000 HYPE tokens on-chain

14 minutes ago

Whale "lovelystuff" Predicts $4.02 Million Bet on Arsenal to Win Tonight's Champions League Final

Per EmberCN’s monitoring, Polymarket whale "lovelystuff" has wagered $4.02 million on Arsenal to win this morning’s Champions League final. If his bet hits, he’ll net $3.62 million in winnings. The whale is confident Arsenal will hold firm to claim victory until the final whistle. On May 24, he placed a bold $2.13 million bet on Arsenal defeating Crystal Palace, and walked away with $1.95 million in profit. If Arsenal takes home the Champions League title tonight, lovelystuff will have three straight correct predictions under his belt, with total earnings topping $5.57 million.

14 minutes ago

Bank of America: Market Hoping for AI Popularization Similar to China Joining WTO, Global Corporate Earnings Have "Decoupled from Fundamentals"

May 30. Bank of America Securities’ latest research note notes that the unusual disconnect between global stock markets hitting all-time highs and traditional macroeconomic fundamentals stems entirely from corporate profit forecasts. The MSCI Global Index’s 12-month forward earnings per share (EPS) has climbed 9% over the past three months, translating to an annualized growth rate of nearly 40%. The S&P 500’s three-month EPS momentum has jumped to 12%—its highest level in four decades. Yet, the global Purchasing Managers’ Index (PMI) has kept falling to a two-year low of roughly 50.5. Even more crucially, roughly two-thirds of this latest round of earnings upgrades are tied to rising profit margin forecasts, with forward 12-month consensus profit margins hitting all-time highs of 13.9% in Europe and 11.4% globally, respectively. Bank of America frames this gap as analogous to China’s 2001 WTO accession: at that time, over a billion workers joined the global economy, crimping the barga

14 minutes ago

Ignoring Trump's warning, Iran's parliament to approve 'sovereign control' plan over Strait of Hormuz

On May 30, a member of Iran’s parliament’s presiding board named Salimi announced that Iran’s plan to assert sovereignty over the Strait of Hormuz will be approved by the parliament and is set to become a permanent law. According to Salimi, only Iran and Oman have the right to decide how to manage the strategic waterway. Iran has held talks with Oman, which has given preliminary approval; the plan is expected to be finalized soon. On May 28, U.S. President Donald Trump weighed in on the potential joint management of the Strait of Hormuz by Iran and Oman. Trump said Oman “will behave well” and rejected any such arrangement, adding, “Otherwise, we will have to bomb them. No one can control the strait. The strait will be open to everyone.” The U.S. will “closely monitor this matter,” Trump noted. “Oman will act like other countries; otherwise, we will have to bomb them. They understand that, so there won’t be an issue.”

14 minutes ago

Alephium Ethereum Cross-Chain Bridge Hacked, Resulting in Approximately $815,000 Asset Loss

On May 30, Blockaid monitoring detected an attack on the Alephium TokenBridge Ethereum cross-chain bridge. The attacker took control of 3 out of 4 Guardian keys, forged a VAA (Verification Authorization Message), and executed the attack in about 7 minutes, siphoning approximately $815,000 in assets. The attacker minted 13.76 million wrapped ALPH tokens out of thin air, an amount surpassing 100% of the circulating supply before the attack, while unlocking and transferring out assets including USDT, USDC, WBTC, and WETH from the custody pool. Currently, the attacker’s address still holds roughly $815,000 in stolen assets plus 13.76 million uncollateralized wrapped ALPH tokens.

14 minutes ago

「Stock God」 Serenity Forecasts AI Hardware Investment Opportunity: Foxconn CPO Switch Ships in Q3, Xinxi is Responsible for its Advanced Optical Business

May 30 — Self-proclaimed "Stock God" Serenity, a high-profile senior trader on Reddit’s WallStreetBets (WSB) forum, published an analysis piece breaking down the latest Foxconn shareholders meeting news and strongly recommended Foxconn’s subsidiary, ChipTech Holdings. Per the meeting, Foxconn’s Co-Packaged Optics (CPO) switches are confirmed to start shipping in Q3, with a target of 10,000 units shipped in 2026. The company aims to become a global leader in the CPO space and projects explosive growth next year. Serenity specifically noted that ChipTech Holdings is Foxconn’s division responsible for advanced optical operations, adding that these order volumes haven’t been fully reflected in Foxconn’s financial reports yet but are likely to show up in the second half of the year. He frames this positioning as ahead of the next AI hardware super cycle, calling it the next big opportunity in the AI sector. BlockBeats Note: Serenity is a highly influential WSB trader, with a cumulative in

14 minutes ago