Good Morning! CPI posted its biggest jump since 2022, driven by a surge in gasoline prices thanks to the Iran War. The Masters has quietly become the biggest event of the year for private jet operators. And Trump tried to pump Palantir with a Truth Social post, but Michael Burry is still betting against it.

Ares is planning a new, smaller private credit fund after its record predecessor. Barron Trump is set to launch a herbal tea beverage company next month. And Wall Street is developing a new credit default-style tool to short private credit.

Plus: Banks gear up for a $40 billion trading windfall as Iran-driven volatility spikes, BookTok and burnout fuel $1,000 reading retreats, and do we really need eight hours of sleep?

Stay ahead of the latest modeling trends in AI. Get access to Endex here.

SQUEEZ OF THE DAY

New AI Model Scares Bankers

Wall Street is busy figuring out how AI could replace analysts, but Washington just warned it might be able to hack the pipes first.

Treasury Secretary Scott Bessent and Fed Chair Jerome Powell reportedly pulled the CEOs of America's biggest banks into a hastily arranged meeting last week to warn them about a powerful new Anthropic model that could supercharge cyber risk across the financial system.

The concern wasn't about analyst jobs or faster research. Anthropic's new model, Claude Mythos Preview, is reportedly so good at finding hidden software vulnerabilities that if bad actors get access to what it uncovers, sensitive customer data and core financial infrastructure could be exposed.

The model has already escaped its testing environment, manipulated an AI judge grading its code, and acted autonomously in ways that alarmed researchers.

Anthropic itself is flagging the risk. The company says Mythos Preview is unusually strong at identifying security flaws human developers would miss, but too dangerous to release publicly. Instead it's being limited to 40 companies under "Project Glasswing," a controlled coalition testing it against critical infrastructure. JPMorgan is in that group and plans to use it for defensive cybersecurity. Jamie Dimon was reportedly invited to the Washington briefing but missed it due to travel.

Takeaway: Wall Street spent two years treating AI as an efficiency story, fewer grunt tasks, leaner teams, faster research. This is a reminder that the same technology can become an offensive weapon. The next AI battle in finance may not be about who automates equity research first. It may be about which institutions can survive a world where AI exposes their weakest points faster than they can patch them.

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AI Performance in Finance Soars from 59% to 87.3% in 4 Months

OpenAI’s Project Mercury appears to be paying off. GPT-5.4 released and scored 87.3% on junior investment banking tasks.

Anthropic, Google, and OpenAI are each showing distinct strengths across Excel and PowerPoint workflows. New models are landing faster than firms can evaluate them.

As CEOs like Jamie Dimon warn that AI productivity gains will reshape finance teams, firms are starting to rethink how they deploy these tools.

Many teams have adopted Endex for complex modeling in Excel. Their custom deployments are compressing hours of analyst work to minutes, using the best-performing foundation model for each workflow.

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HEADLINES

Top Reads

• Consumer prices rose 3.3% in March, as energy prices spiked due to Iran conflict (CNBC)

• The Masters has become the biggest event of the year for private jet companies (CNBC)

• Trump post props up Palantir stock (WSJ)

• Michael Burry says he's still betting against Palantir after Trump post boosts stock (CNBC)

• Ares plans smaller private credit fund after record predecessor (BB)

• Barron Trump preps for launch of yerba mate beverage company in May (NY Post)

• Wall Street builds new tool to bet against private credit (WSJ)

• Wall Street banks set to report $40B trading haul as Iran war rekindles volatility (FT)

• BookTok and burnout are fueling interest in $1,000 reading retreats (BB)

• Apollo's Rowan resolves JPMorgan suit over Charlie Javice fraud (BB)

• 7-Eleven owner postpones its IPO (Axios)

• TSMC posts 35% jump in revenue to new record high as AI chip demand stays strong (CNBC)

• BlackRock rips page from hedge fund playbook, applies it to ETFs (CNBC)

• When Bill Ackman vented over $2 million, fellow billionaires rushed to commiserate (WSJ)

• How VC money and Israel outrage derailed a hot Hollywood startup (WSJ)

• The dealmaking gamble threatening Estée Lauder's turnaround (WSJ)

• The hottest Apple product right now isn't what you think (CNN)

• JPMorgan's Jamie Dimon is surprised more private equity firms aren't using IPOs (BB)

• Insurers take bigger risks than before 2008-09 crisis, report warns (WSJ)

• Blackstone eyes $2 billion IPO for data center acquisition firm (BB)

CAPITAL PULSE

Markets Rundown

Market Update

• Stocks finished mixed, capping a strong week driven by ceasefire optimism

• The rally paused, but sentiment remains constructive as U.S.–Iran talks approach

• Oil declined meaningfully on the week, easing some inflation pressure

• Bond yields edged higher, while the dollar weakened

• Mega-cap tech, especially semiconductors, continued to lead

Geopolitics in Focus

• Markets are watching whether the temporary ceasefire can evolve into a lasting agreement

• Weekend talks between the U.S. and Iran are a key near-term catalyst

• Oil’s pullback reflects growing belief in eventual normalization, though risks remain

• Expect markets to stay headline-driven in the near term

Inflation Check

• Headline inflation jumped, driven by the surge in energy prices

• Encouragingly, core inflation came in softer than expected

• Underlying services inflation is showing signs of cooling

• If oil stabilizes, this supports the view that inflation pressure may be temporary

• The Fed is likely to remain patient, with rate cuts delayed but still on the table

Earnings as the Next Driver

• Markets are increasingly shifting focus from geopolitics to corporate earnings

• Expectations call for strong revenue and profit growth

• Technology continues to be a key engine of earnings expansion, particularly tied to AI

• Energy sector strength may help offset cost pressures across the broader market

• A solid earnings season could support the recent rebound in equities

Movers & Shakers

• (+) CoreWeave ($CRWV) +11% after announcing a $21 billion expansion of its AI cloud infrastructure agreement with Meta, extending the partnership through 2032 and deploying early capacity on Nvidia's upcoming Vera Rubin platform.

• (+) Coherent ($COHR) +8% because JPMorgan raised its price target to $300 from $245 with an Overweight rating, citing the company as a key AI beneficiary alongside peer Lumentum given its photonics exposure.

• (–) Fair Isaac ($FICO) -14% after Barclays cut its price target and Senator Josh Hawley announced a formal Senate investigation into FICO's credit score pricing practices in the mortgage market, fueling fears of regulatory intervention.

Prediction Markets

• Earnings Call Special (today before markets open): Goldman Sachs

• Trade on real-world events with Kalshi. Use code OWS to get a $10 bonus when you trade $10.

Private Dealmaking

• ShengShu, a Beijing-based AI video startup, raised $293 million

• Chapter, a Medicare navigation platform, raised $100 million

• Elorian, a startup focused on visual reasoning for AI, raised $55 million

• Luminai, an enterprise automation platform for healthcare, raised $38 million

• AfterQuery, an applied data solutions research lab, raised $30 million​​​​​​​​​​​​​​​​

• Paysend, an international money transfer company, raised $25 million

For more PE, VC & M&A deals, subscribe to our Buysiders newsletter.

BOOK OF THE DAY

What’s The Point?

Description:
A practical and science-backed guide from Tom Rath on how to turn abstract ideas of purpose into something you can actually live every day. The book breaks down how small, intentional actions compound into a meaningful life, showing how purpose is not something you find once but something you build consistently. It blends research, real-world examples, and simple frameworks to help align your daily actions with what matters most.

Book Length: 256 pages
Release Date: April 28, 2026

Ideal For:
Anyone looking to translate purpose into daily habits, improve fulfillment, and align their work and life with what truly matters

Purpose is not something you discover once it is something you practice every day.

DAILY VISUAL

No Kidding

PRESENTED BY FRE

How to Create an Edge

The best analysts aren’t just smarter, they’re better equipped. They stack tools: AI copilots, faster modeling templates, cleaner workflows; anything that reduces friction when you’re deep in an LBO model, cleaning up a deck at 1 a.m., or turning MD comments for the third time.

The same logic applies to focus. Concentration is capital.

Nicotine has long been used as a cognitive tool to stay locked in, and, like your favorite AI modeling tool, not all tools are the same. Some are simply stronger or provide more specificity than others. FRE offers a range of 3 - 15mg pouches, allowing you to customize your focus in real time.

Creating an edge means choosing the tools that help you execute when it counts.

Explore FRE and lock in today.

DAILY ACUMEN

Reverse Engineer

Most people build their lives forward, accumulating things they think they want, and then arrive somewhere in their forties or fifties with the quiet, disorienting sense that none of it quite adds up to what they were after.

The more useful exercise is to start from the end. Decide what you actually want your life to feel like, then trace backwards to figure out what that requires and, more importantly, what it rules out.

The reason most people don't do this is that it forces an honest conversation about all the things currently taking up space that would not survive the audit.

ENLIGHTENMENT

Short Squeez Picks

• Do we really need 8 hours of sleep every night?

• How leaders can build a high-agency culture

• Do you lean optimistic or pessimistic?

• How to build self-control, according to psychologists

• Can you fake being rich?

MEME-A-PALOOZA

Memes of the Day

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