What the US stock market really needs to focus on this week is not the daily fluctuations, but whether inflation and employment can provide a clearer direction for pricing September policies. The first thing is the CPI for July. This is the most important data of this week. The market will focus on core inflation, housing costs, and service inflation. If CPI continues to cool down, the expectation of interest rate cuts may rebound, and the valuation pressure on technology stocks and cryptocurrency assets will also ease; But if the data rises again, US bond yields and the US dollar may rebound, putting pressure on the overvalued sector. The second thing is PPI and initial unemployment benefits. PPI reflects the upstream costs of enterprises, and initial applicants continue to verify whether the job market has cooled down. The most popular combination in the market now is a decrease in inflation and a slowdown in employment, but the economy has not suddenly stalled. The data is too strong, and the expectation of interest rate cuts is pushed back; Poor data can lead to declining trading. The third thing is the semiconductor financial report. Cisco and Applied Materials are important observation windows for this week's technology direction. Cisco needs to consider AI network equipment and data center orders, while application materials are directly related to wafer fab capital expenditures, advanced processes, and storage expansion. Especially in the storage sector, which has rebounded rapidly recently, we cannot rely solely on emotions. We also need to see if device orders and customer spending can catch up. The fourth thing is the MSCI index adjustment. The inclusion and exclusion of indices may lead to passive fund adjustments, and some individual stocks may experience short-term volume increases. This impact is more biased towards the capital side, and does not mean that the company's fundamentals have changed within a day. Don't misunderstand passive buying and selling as a growth trend. The fifth matter is the disclosure of 13F holdings. What Buffett and large institutions bought or reduced in the second quarter will become the focus of market discussions. But 13F has obvious lag and can only be used to observe the mechanism's thinking, and cannot directly copy the operation. My assessment for this week is simple: CPI determines interest rate expectations, PPI and employment are responsible for cross validation, application materials observe semiconductor demand, and 13F looks at the choices of large funds in the past quarter. The main themes that have truly impacted the market this week are still those three words: Inflation, employment, and AI capital expenditures. Don't guess the direction before the data comes out. After the data comes out, first look at how the US bond yield will go. The market talks about interest rate cuts, but in the end, it is still the cost of capital that truly sets the price for assets.