CPI is at 3.6%, and the Fed is sharpening its knives, ready to act in December. But there’s one kind of inflation it simply can’t control: GPU rental prices.
After CoreWeave reported earnings last night, its stock jumped 16%. Everyone’s talking about its scary debt, but I noticed another detail: prices went up 25% in July, another 10% in Q3, and they’re set to rise again in Q4. Rental prices for older GPUs are up 30%–50% in a single quarter. CPI is only up 0.4% month over month, while these guys are raising prices by double digits every quarter. So tell me, which one is really inflation?
Demand is even more extreme. In CoreWeave’s own words, qualified demand is 10 times available capacity, and capacity through 2028 has already been booked several times over. This week, Malaysia went so far as to set up a dedicated wholesale electricity market for data centers. Electricity from all over the world is flowing into server farms.
Meanwhile, on the old-economy side, Asian jet fuel crack spreads have fallen to a six-and-a-half-year low, and inflows into Indian gold ETFs are down 22% quarter over quarter. Traditional demand is cooling, while AI is scrambling for power, GPUs, and memory. It’s a tale of two extremes.
So here’s how I see it: this round of inflation isn’t caused by money printing—it’s caused by a scramble for computing power. Rate hikes can bring down the price of milk tea, but they can’t bring down the rent on an H100. BTC is languishing below 74,000, and crypto is just caught in the crossfire this time. Don’t make any rash moves before the December FOMC decision.
Your position size is worth more than your opinions. Keep your hands in check.
NFA DYOR
$CRWV $NVDA $BTC
#AI #算力 #CPI #比特币 #FederalReserve
After CoreWeave reported earnings last night, its stock jumped 16%. Everyone’s talking about its scary debt, but I noticed another detail: prices went up 25% in July, another 10% in Q3, and they’re set to rise again in Q4. Rental prices for older GPUs are up 30%–50% in a single quarter. CPI is only up 0.4% month over month, while these guys are raising prices by double digits every quarter. So tell me, which one is really inflation?
Demand is even more extreme. In CoreWeave’s own words, qualified demand is 10 times available capacity, and capacity through 2028 has already been booked several times over. This week, Malaysia went so far as to set up a dedicated wholesale electricity market for data centers. Electricity from all over the world is flowing into server farms.
Meanwhile, on the old-economy side, Asian jet fuel crack spreads have fallen to a six-and-a-half-year low, and inflows into Indian gold ETFs are down 22% quarter over quarter. Traditional demand is cooling, while AI is scrambling for power, GPUs, and memory. It’s a tale of two extremes.
So here’s how I see it: this round of inflation isn’t caused by money printing—it’s caused by a scramble for computing power. Rate hikes can bring down the price of milk tea, but they can’t bring down the rent on an H100. BTC is languishing below 74,000, and crypto is just caught in the crossfire this time. Don’t make any rash moves before the December FOMC decision.
Your position size is worth more than your opinions. Keep your hands in check.
NFA DYOR
$CRWV $NVDA $BTC
#AI #算力 #CPI #比特币 #FederalReserve