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BlockBeats News, July 1st, according to on-chain analyst Ai Yi (@ai_9684xtpa), a savvy trader who previously made $4.15 million by longing Micron, Micron, and Intel, has turned bearish for the first time. Around 5:30 PM today, the trader opened a short position on Micron (MU), Micron (SKHX), SanDisk (SNDK), Intel (INTC), and BTC, with a total position of over $34.9 million. As the US stock market opened with a sharp decline, the position was already showing a profit of $1.742 million just four hours after opening.

On July 1, institutional analyst Jersey stated that Waller seems fully committed to undermining the Federal Reserve's recent forward guidance. From a market perspective, this means the Fed may surprise the market more frequently—despite Waller having expressed in a June press conference his desire for the market to guide the Fed. This implies that if the market has already priced in a certain change, the Fed may sometimes act contrary to that expectation, as the Fed's reaction function could experience an information vacuum. I recall the last significant surprise was in September 2015, when the market had priced in over a 90% probability of a rate hike, but the Fed did not act due to the depreciation of other currencies.

On July 1, Fed Chair Waller stated that inflation risks have decreased. If anyone believes we will be satisfied with inflation above 2%, they will be disappointed.