June 3, 2026 · AM edition

Fed Goes Full Project 2025, Goldman Bets on AI, and the Knicks Are in the Finals Somehow

When the Fed starts hiring from the policy wishlist and Goldman starts chasing yesterday's AI trade, just remember: Bitcoin has no HR department and no revolving door.

FF2K generated dispatch art for Fed Goes Full Project 2025, Goldman Bets on AI, and the Knicks Are in the Finals Somehow

Full recap

Good morning. The market is doing its best impression of a caffeinated squirrel before the bell, with Blackstone, Marvell Technology, and Palo Alto Networks all making big premarket moves. No single narrative, just vibes and algorithms fighting over price discovery like it means something. Strap in. Goldman Sachs has officially rotated out of Hong Kong stocks and into mainland China AI hardware plays, because nothing says 'we have conviction' like chasing the exact narrative everyone else is already talking about. H shares get cut to market-weight while A shares stay overweight. Translation: Goldman wants to be at the AI party but prefers to use the side entrance. The Federal Reserve now has a Project 2025 author on staff, because apparently the most powerful central bank on earth needed a little more ideological seasoning. New Fed Chair Warsh is building his team, and one of the first hires literally wrote the Fed chapter in the conservative policy blueprint that everyone spent two years arguing about. Whether you love it or hate it, the Fed just got a lot more interesting to watch, and not in the way bond traders prefer. Meanwhile, former Barclays CEO Jes Staley has agreed to a July 23 interview with the House Oversight panel about his relationship with Jeffrey Epstein. Bill Gates is also scheduled for a similar interview in June. At this point the Epstein congressional hearing circuit is basically its own institutional calendar event, arriving like clockwork alongside earnings season and rate decisions. On the sports desk, the Knicks are in the NBA Finals against the San Antonio Spurs, which is either a fever dream or proof that patience is occasionally rewarded in professional basketball. Game 1 is tonight. One expert is on a 100-69 run with his picks, which is either genius or a streak that is about to end spectacularly on the biggest stage. The Memorial Tournament is this week in golf, and SportsLine's model has already simulated it 10,000 times to surface a longshot parlay paying over 80,000 dollars on a ten-dollar bet. The Belmont Stakes is Saturday at Saratoga, with an expert who called four of the last eight winners weighing in. Gambling content has fully merged with sports content at this point, and nobody seems bothered. The through-line today is institutions doing what institutions do: rotating capital based on yesterday's thesis, hiring for ideological alignment, and agreeing to congressional interviews just late enough to let the news cycle cool. Sports at least has the decency to keep score. Markets and central banks could learn something.

Highlights

  • Goldman cuts Hong Kong, chases mainland China AI hardware - rotating into the hype after the hype has already been priced in is a Goldman tradition at this point.
  • The Fed just hired a Project 2025 author, which means monetary policy just got a lot more ideological and a lot less boring to follow.
  • Knicks vs Spurs NBA Finals Game 1 is tonight - one of these franchises has not been relevant in decades, and somehow it is appointment television again.
  • Jes Staley and Bill Gates both on the congressional Epstein interview calendar this summer - the list of people explaining their relationship with Epstein to Congress keeps growing and nobody looks great doing it.
  • A ten-dollar golf parlay could theoretically return 80,000 dollars at the Memorial Tournament, which is statistically about as likely as the Fed staying apolitical but at least golf is honest about the odds.

Original source links