Happy Sunday and Happy Father’s Day. The Iran vs. Israel affair notwithstanding, it was a fairly ho-hum week and another slow summer (and short) week up ahead with main event the Fed, MU earnings and MRVL’s Tuesday AI event.
On the bigger picture front, it’s always hard to handicap geo-political events - it seems like most countries are focused on de-escalation despite Israel and Iran doing their best to ignore that this weekend with more missiles fired on both sides. The end result could actually end up being a more positive one if some sort of peace deal is reached as Iran regime seems significantly degraded.
We actually thought the more important piece of news on Friday was the Bloomberg article saying US is closing in on a deal that would impose tariffs of 20-25% on Vietnam. While less than the Apr 2nd rate, it’s higher than where consensus had shifted (something closer to 10%).
We’ve been comfortable running higher net/gross these past few weeks as our view has been that tari…