⚠️MASSIVE amount of US household wealth has been lost:
US household equity wealth has likely dropped by $ TRILLION year-to-date, the most in 3 YEARS. This may lead to further pullback in consumer spending as the top 10% account for 50% of total consumer expenditures. Source: BofA
The S&P 500 is almost back to where it was on Liberation Day
Source: Barchart
Gold prices have OUTPERFORMED the S&P 500 by 33% so far this year, the most since at least 50 YEARS.
Since the start of 2023, gold has rallied 82% while the S&P 500 44%, despite 2023 and 2024 being the best years for stocks since the Dot-Com BUBBLE. Source: Global Markets Investor
SP500 revenue from China are roughly six times US exports to China
From Torsten Slok, Apollo
Worst net US earnings revisions since 2020!
Source: Win Smart, CFA @WinfieldSmart
Should investors look at overbought signals on gold or focus on the long-term perspective?
Tavi Costa believes that when it comes to the yellow metal this as one of those key moments when traditional technical analysis like overbought conditions become largely irrelevant. We are likely in the midst of a monetary realignment, and attempting to time short-term corrections based on extreme RSI levels misses the forest for the trees, in his view. "This perspective underestimates the structural macro imbalances that continue to compel governments to accumulate gold" he added. He might be right...
Trump - Xi Jinping summarized in one chart
Source: Justin Wolfers @JustinWolfers on X
NORWAY’S $1.7T SOVEREIGN WEALTH FUND JUST POSTED A $40B LOSS IN Q1, ITS WORST DROP IN 6 QUARTERS.
The fund, run by Norges Bank Investment Management, pointed to a pullback in tech stocks as the main drag, with equity returns down 1.6%. Holdings like $AAPL, $NVDA, and $TSLA all took a hit. Fixed income helped a bit, returning 1.6%, but it wasn’t enough to offset the slump. CEO Nicolai Tangen said the recent market turmoil, especially after Trump’s tariff hikes, isn’t even fully reflected yet. That early-April tariff spike alone knocked off another $200M. Despite the loss, the fund still outperformed its benchmark by 0.16%. They’ve already started trimming some tech exposure to reduce risk. CFO also confirmed they didn’t make any moves in U.S. Treasuries in April—no buying or selling. The fund's performance is mostly tied to global indexes, so there's limited room for active moves. And while it’s staying out of nuclear weapons makers like Lockheed due to ethical guidelines, there's growing political pressure in Norway to rethink that stance. Source: Wall St Engine, The Borneo Post
