TMTB EOD Wrap

Good afternoon. QQQs +1.8% in what was some of the healthier price action we’ve seen a long time — great breadth across the board with Internet, Hypers, Semis, and Software all green. Everyone’s getting along! Hyperscaler strength was the big story today as investors digested Jassy and Satya finally exciting investors with ROI talk & coming through with cloud accelerations late last week, which we thought marked a turning point in the trade and activated it. We dove more into it in our weekly yesterday, but our rough high-level view is the narrative across distribution outcomes is fairly clean. Here’s how we framed it in TMTB Slack a couple weeks ago: