💥 AI Euphoria, Recession Risk, Inflation, And How It Affects You

The Truth About The Market, Economy, and Inflation (And What To Do Now)

My first real job after graduating, a senior manager told me something I still think about today.

“The market,” he said, “is never wrong. But it’s almost always early.”

I was fresh out of school. I didn’t fully get it then. After watching cycles come and go, it makes a lot more sense.

The market doesn’t price today. It prices tomorrow. And sometimes, it gets so far ahead of itself that today’s reality becomes almost unrecognizable when you compare it to what the market is implying.

This week is one of those moments.

The S&P 500 hit an all-time high. Cerebras Systems, a company that isn’t profitable, raised $5.5 billion and surged 68% on its first day of trading. Investors priced in a future built on AI, data centers, and technological transformation.

But here’s what’s actually happening in the present.

Inflation hit 3.8% in April. Wages grew only 3.6%. For the first time since 2023, the cost of living is rising faster than the average American’s paycheck. The 30-year Treasury yield just hit …