For the next round of capital rotation, I’m focusing on Tesla, aerospace, and power.

There are also two old friends I’ll continue to watch:

SanDisk SNDK and Dell DELL.

They are about to enter the S&P 100.

This is very simple.

After entering the S&P 100, ETFs and passive funds tracking the index will need to adjust their holdings according to the new weightings.

Therefore, during the period from the announcement of the additions to their official inclusion, the market usually trades ahead of the expected passive-fund buying.

In other words:

Additions announced
↓
Active funds move in early
↓
Passive funds rebalance
↓
Trading volume increases around the effective date

So for SNDK and DELL, I believe there is still an “index inclusion trade” worth watching.

But what you really need to be careful about is what happens after the inclusion takes effect.

Because funds that positioned early may use the arrival of passive funds to take profits.

So my approach is not to chase them on the effective date.

Instead, I would capture the expectations early and pay closer attention to taking profits into any rally as the official effective date approaches.

Looking further ahead, I’m focusing on three areas for the next round of capital rotation.

First, power.

What AI is truly lacking now is not just GPUs, but electricity.

GEV, ETN, VST, CEG.

Second, aerospace.

SPCX, RKLB, ASTS, LUNR.

Satellite internet, commercial launches, defense, orbital communications, and even orbital computing in the future are all extending AI infrastructure further outward.

Third, Tesla.

TSLA can no longer be viewed solely as an automotive company.

Robotaxi, FSD, Optimus, and energy storage.

It represents the next phase of Physical AI.

So the flow of capital is becoming increasingly clear to me:

NVDA chips
↓
MU, SK Hynix, SNDK memory
↓
DELL servers
↓
Optical communications
↓
Power
↓
Aerospace
↓
TSLA Physical AI

SNDK and DELL entering the S&P 100 is itself a very interesting signal.

The money has not left AI.

It is simply moving along the entire industry chain in search of the next asset that has not yet been fully priced in.

In the short term, I’m watching SNDK and DELL’s index inclusion trade.

For the next round, I’m watching power, aerospace, and Tesla.

Capital never stops.

It simply flows from places that are already full to the next table.