Republic Risk: It’s All About Inflation

We have a very important CPI number this week. If inflation ticked higher than expected in February, the odds of a rate hike in June will crater and could take technology stocks lower.

Equity Storm Watch Is GREEN on the S&P 500 and GREEN on the Russell 2000

We just witnessed the worst week for the Dow Jones since October - yet there wasn’t a primary reason why capital exited the large industrial index - that’s shifting toward Technology anyway. That said, we must keep a very close eye on NVIDIA (NVDA). Shares plunged 10% during an intraday selloff on Friday that pulled the market down at the end of the day. NVDA dropped from $974 to $875 by close, and NVDA is dropping again this morning. Meanwhile, Bitcoin has shattered the critical resistance line of $71,000 - where a wall of sell orders had built. This is incredible, and the March increase is likely due to news of the pending Halving Event.

Markets are adjusting to one important number this week: The Consumer Price Index (CPI), which arrives tomorrow morning. This CPI will ultimately impact the rate odds for a June decision by the Federal Reserve. The odds of a rate cut for June have plunged from 100% to about 71% i…