As China scales and standardizes nationwide compute infrastructure, multiple suppliers have announced permanent cuts to compute prices. Model vendors DeepSeek and Xiaomi’s MiMo posted the largest reductions, as much as nearly 99%, sharply lowering costs for high-frequency Q&A, web design and coding workloads and enabling lighter, routine AI applications to run at much lower cost.

Alaska Airlines CFO said corporate bookings over the next 90 days are up 20-30% YoY.

China Galaxy Macro says May nonfarm payrolls beat expectations but do not imply the Fed will raise rates this year. May labor-market data remain overall stronger than expected, leaving the Fed without near-term evidence to justify a rate cut; at the same time the labor-market structure shows no clear acceleration that would trigger an inflationary spiral, so markets need not overprice an intra-year hike. Stronger nonfarm prints since March raise the bar for cuts but, in China Galaxy Macro’s view, do not create upward pressure to hike. The group considers markets have likely overestimated hike risk, though lagging economic releases cannot disprove that risk and the Fed remains data-dependent. After extreme AI-driven positioning, markets face a correction risk; liquidity normalization is expected to resume this year but timing is uncertain.