The master has failed more than the beginner has tried
Thru Yasin Arafeh
The YEN is COLLAPSING and Abenomics has taught us some lessons:
After years of money printing, Yen now trades to 155 against USD: -32% against USD since 2021, -50% since 2012 The Bank of Japan has been buying over half of the national debt with freshly created yen, plus a bunch of other securities. But there is a price to pay after all: the destruction of the currency: Source Wolfstreet
A great chart by HolgerZ ->
Big Tech vs Non-Profitable Tech (long-duration stocks) curve tracks perfectly the US 10y yield rise. It shows very nicely the consequences of the rise in yields for the stock market. Source chart: Bloomberg
US big tech revolution steamrolling emerging markets equities in one chart.
What would make this trend reverse? Source: BofA, Michel A. Arouet
The dollar yesterday rose for the fifth straight day to fresh highs since November - forming a 'GOLDEN CROSS' (50DMA crossing above the 200DMA)
Source: Bloomberg, www.zerohedge.com
2022-2024 summarised in one cartoon
Thru Andreas Steno Larsen
Gold rallied strongly again yesterday, disregarding entirely the significant reversal seen on Friday.
Meanwhile, the $GLD ETF is still facing significant outflows on a 2-year basis of nearly 45%. Source: Tavi Costa, Bloomberg
BREAKING: The 10-year note yield is now up 90 basis points YTD and nearing 4.70% for the first time since November 2023.
As treasury yields rise, we are seeing further pressure on stocks and other risky assets. Meanwhile, the base case now shows just 2 interest rate cuts in 2024. Higher for longer is officially back and interest rates are surging quickly. Source: The Kobeissi Letter
