No News is Bad News
Markets keep falling as Trump dithers.
The only certainties in life are death and taxes: add capital markets hating uncertainty.
With Brent Crude now trading at $110, US$10 below its high and 60% above where it was a month ago, all eyes are on inflation and supply disruptions
Markets continue to fall. US equities are now off 10% from the highs, US 10 year bond yields have risen 50bps, private credit gatings abound and now Bitcoin has started to fall.
As Gold has seen a lot of selling after a parabolic move earlier in the year, so did Bitcoin become the (temporary) safe haven but now flows are coming back into Gold and Bitcoin is moving back down again.
The USD rose as Gold sold off with some regarding it as a safe move. US treasuries selling off would seem to negate that theory.
Trump has managed to drag the UAE into the Iran conflict and now Iraq and Kuwait are getting involved. The UK and France are aiding the US with access to landing and refuelling points.
Risk-off is the current framework. Eventually it will all come down in a crash.
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Ian Reynolds: Trader & Investor | Former Bank Foreign Exchange Market Maker | Early investor in Bitcoin & Tech Founder. Helping investors understand the radical changes coming in macroeconomics and geopolitics.
Suberia Capital: Special situations investing for high net worth individuals.
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