Marvell Tech

It's a rough day for the market today where Korea, Japan and Taiwan experienced severe correction. With the CPI came in hotter than expected, market bumped up the expectations on fed tightening and rate hikes. As the market has repeatedly been questioning the ROI of AI capex of late, the CPI figures meant higher discount rates to reduce the present value assigned to future earnings and it became a trigger or excuse for the sell down which could jolly well be an excuse to take profits and par down risks.

October Hike odds are back on as CPI came in hotter than expected and the markets certainly did not like that. Almost every major market started selling off last night and today, causing further pain for those holding stocks on the optical sector that has already been facing downwards pressure.

It’s good to have a market purge and let the bears have their day. Because there are too many of them around and until they become bulls, up we go again!

Time to load up on high quality stocks. Buy in small tranches as it is not possible to time where are the lowest prices to buy. Long term AI theme as high growth drivers does not change with macro data like CPI. Business earnings still the most important criteria.

Haha….CPI came in hot. As weird as this sounds, I believe this will allow the market to really shake out weak holders and set itself up for a year-end rally.

Inflation came in hotter than expected. We still have PPI and Job Reports today, hoping for good news today and may the current volatility be short-lived l

The KOSPI sell-off highlights how quickly inflation and interest-rate concerns can trigger broader deleveraging, particularly in technology-heavy markets. The key near-term indicators are upcoming inflation data, Fed communications and whether Treasury yields resume rising. If inflation remains elevated, rate-sensitive equities may face further pressure; if yields stabilize and rate-hike expectations ease, markets could recover some losses. The outlook remains uncertain, with heightened volatility likely around the next Fed decision.

South Korea’s 8% KOSPI decline and circuit-breaker activation signal acute risk aversion and potentially forced selling, amplifying concerns about regional equity-market volatility. Higher yields generally pressure growth stocks and other long-duration assets through higher discount rates, while tighter financial conditions can weigh on valuations and economic activity.

September’s hotter-than-expected CPI and the highest core inflation reading of the year suggest that underlying price pressures remain persistent, complicating the outlook for monetary easing. The sharp rise in October rate-hike expectations indicates markets are reassessing the likelihood of tighter policy, while the initial surge in five-year Treasury yields reflects increased concern over inflation and interest-rate risk. The subsequent bond rally suggests some reversal in positioning or demand for safety, although the underlying policy outlook remains uncertain.

September CPI is higher than expected so much. The Federal Reserve could consider adding an interest rate again. REIT will be in the hot soup again. Let's see what will happen