Morning Call Sheet: Markets weigh inflation, AI and rate fears
CNBC Television
|
May 13, 2026 at 12:01 PM UTC
Bearish
90% Confidence
Watch on YouTube
Key Points
- Trump-Xi summit has subdued expectations; focus on trade deals and avoiding escalation on tariffs/Taiwan.
- Hot CPI print fuels speculation of Fed rate hikes, with Kalshi odds for a hike before 2027 climbing.
- Tech sector now represents 41% of all investable assets in the US, with semiconductors making up 50% of the tech sector, a concentration not seen since Y2K.
- Piper Sandler has lowered its tech exposure for the second time this year, reallocating to energy, industrials, and financials due to concerns about tech's unsustainable vertical growth.
AI Summary
The discussion covers the Trump-Xi summit with subdued expectations, rising inflation (hot CPI, PPI on tap) fueling rate hike speculation, and concerns over the highly concentrated tech sector. Piper Sandler is actively reducing tech exposure, citing unsustainability and opportunities in other sectors.
Model Analysis Breakdown
| Model | Sentiment | Confidence |
|---|---|---|
| Gemini 2.5 Flash | Bearish | 90% |
| Consensus | Bearish | 90% |