Market thoughts - 9 Jul 26

Funny how bad and fake news comes right at a certain timing and being pushed by a few accounts. A week on, we are now receiving the reverse - news that refute that Meta has excess capacity. My initial read was that Meta was going to increase capex - this is looking to turn to be a reality. The upcoming earnings if that gets reflected will be another tail wind for semis.
In terms of sectors, even photonics caught a bid today. This has been lagging the market for awhile. Away from that Memory is up 7%, likewise along with memory pooling solutions. $PENG was up 13% today. This is pretty significant because PENG is trading on a break out level at this point.
The market's reaction to Meta making its own chips was negative at first, before buyers came in. Zuck also came onto X to announce the release of Muse Spark 1.1 - significant because the last time he tweeted was....3 years ago!
Looks like Zuck has not given up the chase for AGI.
Compute markets have tightened up further, With the rise of agentic workflows becoming more common, i would expect to see alot more demand for inference. This will provide continued support for H100 pricing.
Good luck!