😙 JPMorgan Cuts Fund Lending

JPMorgan stopped lending to Situational Awareness after huge losses from leveraged bets on the AI sector. The fund was forced to sell most of its public-stock holdings tied to Ken Griffin’s Citadel as semiconductor and AI-infrastructure shares plunged worldwide.

In July, the sell-off triggered a margin call. The portfolio fell 67% in one month, after gaining 439% through June.

Leopold Aschenbrenner, a former OpenAI researcher who launched the fund in 2024, told investors it had come “closer to an irreversible loss of capital than is acceptable to us,” while retaining faith in the portfolio’s fundamentals. Goldman Sachs, Citigroup, Bank of America and Clear Street remain brokers.

✅@futures

Cryptobolt

⁉️ AI Safety Debate Intensifies

Trump rejects calls to slow AI development.

Anthropic CEO Dario Amodei says the risks of advanced AI escaping control are real. Powerful models may bypass shutdown attempts, a behavior already observed in simulations. He favors joint oversight by several democratic countries over control by private companies or a single state.

OpenAI CEO Sam Altman confirmed the company will not hold an IPO in 2026, citing AI safety concerns. Elon Musk and Google DeepMind CEO Demis Hassabis also backed Amodei’s warning.

Amodei says self-improving models and autonomous agents are becoming more dangerous. Within six months to a year, swarms of agents could potentially launch major internet attacks causing hundreds of billions of dollars in damage. His proposed safeguards include independent audits, shared standards among democratic countries, and international limits negotiated with China and others.

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Cryptobolt

Discipline is boring.

Boring makes you rich.

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Cryptobolt

JPMorgan just published a frightening chart of global oil inventories. If the line reaches 6.8, the global economy will collapse.

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Cryptobolt

The Bank of England spent more than £85,000 on research to justify replacing historic banknote figures. Winston Churchill, Jane Austen, Joseph Turner and Alan Turing could give way to hedgehogs, foxes, puffins and dolphins.

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Cryptobolt

⛽️ LNG Shift to US

Shell says the loss of 20 million tonnes of LNG from the Middle East will be largely offset by supplies from the US.

Some argue the Hormuz blockade and other transport corridor blockades are part of Trump’s long-term strategy to aggressively expand the US share of global energy trade. Trump is offering US oil and LNG to all major buyers as a “great alternative.”

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Cryptobolt

⚡️ JUST IN: The CLARITY Act failed to secure the required 60 votes to advance.

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Cryptobolt

Years of struggle.

Then one month where it all clicks and you make it all back.

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Cryptobolt

After returning to office, Trump made more securities trades than all Congress members combined.

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Cryptobolt

Today’s focus is the Fed’s rate decision, which will determine whether markets move higher toward the midterms (spoiler: they will).

JPMorgan says holding rates is bearish, while a 0.25% hike is bullish, somehow confusing everyone.

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Cryptobolt

Before the 2000 dot-com crash, the S&P 500 jumped 12%, returning to previous highs. Investors who bet heavily on the internet’s future were right in the long term, but lost 50% of their capital over the next two years.

Three separate 20% bear-market rallies kept bulls in the market until they went bankrupt. The bottom came in 2002, after all participants had been wiped out, and it took about 14 years to return to breakeven.

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Cryptobolt

⚡️ JUST IN: Fed hikes interest rate 25 bps

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Cryptobolt

Meanwhile, Trump fired Powell for not cutting rates, then appointed Warsh, who now raises rates 1.5 months before midterms.

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Cryptobolt

Trading is brutal because there’s nowhere to hide.

If you fail, it’s on you.

If you succeed, it’s on you.

In most areas of life, there’s always someone or something else you can point to.

Your strategy failed? You chose it.

You overleveraged? You chose it.

You revenge traded? You chose it.

You blew the account? You did it.

In a normal job, you can blame your boss.

In business, you can blame your team.

In life, you can blame circumstances.

Trading strips all of that away.

Your P&L is a mirror.

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Cryptobolt

US stocks entered the “extreme fear” zone for the first time since June.

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Cryptobolt

🔴 Midterms Test AI Stocks

US midterm elections are becoming a key risk for AI stocks as backlash against data centers grows and calls for AI safety rules intensify. Lawmakers from both parties are raising alarms over AI safety.

If Democrats regain control of the Senate, it could trigger a stock sell-off. Bookmakers see rising odds that Democrats will retake both chambers of Congress, as Trump and the parties position themselves on AI.

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Cryptobolt

Anthropic CEO Dario Amodei again called for slower AI development for public safety at a tech conference in San Francisco.

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Cryptobolt

Most traders already have the chart skills, but they keep losing because they want to win fast.

If you take it slowly, I guarantee it will be the fastest way to profits.

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Cryptobolt

❗️ September Signals for US Stocks

For DOW, the start of September this year was its worst since the 2008 global financial crisis. Some experts call it a “sign.”

Others note that SP500 and Nasdaq have not fallen since September began. Historically, September is the weakest month for US stocks, with selling ideally peaking mid-month before a strong Q4.

This year, a “Trump-pump” ahead of the November midterm elections could boost Q4. With the Iran fiasco and other failures, stocks and crypto could give Trump one of his easiest and most visible pre-election victories.

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Cryptobolt

🇪🇺 EU Seeks China Auto Cuts

The EU is asking China to voluntarily limit car exports. Chinese hybrids currently account for about one-third of the European market, and Brussels wants that share cut to 15%.

The EU also wants China to buy more European products. Ursula von der Leyen said the bloc’s trade deficit with China had reached €1 billion.

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Cryptobolt

It's already broken.

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Cryptobolt