NEWS: Bitcoin exchange reserves fall to an all-time low of 1.7 million 😳
Is a supply shock coming? Source: Coinglass, SimplyBitcoin
The cost of servicing US government debt is on course to surpass defense spending
Source: Bloomberg, Michael McDonough
Volatility in US Investment Grade Corporate Bond Market Hits All-Time Low!
📉 Trend Alert: The 1-month volatility of the CDX North America Investment Grade index, a basket of 125 equally weighted credit default swaps on investment-grade issuers, has dropped to its lowest level since the index was launched in 2012. 📊 What’s Driving This Trend? Resilient Economy: The US economy is demonstrating strong resilience, which supports narrower credit spreads. Stable Equities: Low volatility in the US equity markets indicates investor confidence, further stabilizing the bond market. Strong Corporate Health: Robust fundamentals of US companies are contributing to lower credit risk perceptions. 📈 Interest Rates & Credit Spreads: Negative Correlation: There's a current negative correlation between US interest rates and credit spreads. This means that as interest rates rise, credit spreads tend to narrow, and vice versa. Positive Impact: This trend has led to US corporate bonds significantly outperforming US Treasuries, marking the biggest relative outperformance since the pandemic crisis in March 2020. ❓ Future Considerations: How long can we expect this low volatility and narrow spreads to continue? Watch the credit market closely for any signs of weakness. Source: Bloomberg
🚀 Chart of the Week: Japan's Yield Curve is Steepening Again! 📈
Big moves in the Japanese bond market! The Japanese yield curve, which tracks the difference between 2-year and 10-year yields, has dramatically steepened since late March and surged even more in May. It's now at 63 bps, a level we haven't seen since January! 📊 10-year and 30-year Japanese yields are hitting decade highs, approaching 1% and surpassing 2%, respectively. As the Yen weakens, the Bank of Japan stepped in to support the JPY and recently cut its bond-buying program for the first time this year. What’s next? The BOJ might sell off its US Treasuries holdings, potentially driving US Treasury yields up in the coming months. Higher Japanese yields also mean US Treasuries are less attractive to Japanese investors, who are key players in the US market. Last summer, a sharp steepening of the Japanese yield curve coincided with a major sell-off in US Treasuries...🤔 #Finance #Investing #Bonds #JapaneseEconomy #GlobalMarkets #Economics #Investors #FinancialMarkets #BankofJapan #USTreasuries Source: Bloomberg
What is the Piotroski Score? It is a method of ranking the financial strength of a company
Using 9 questions, you can quickly determine the financial strength of Google or many others. Source: The Investing for Beginners Podcast
“Often times, the ones that are successful loved what they did so they could persevere when it got really tough”
- Steve Jobs
The biggest success of ETF launches in history?
iShares Spot Bitcoin ETF $IBIT ended up with 414 reported holders in its first 13F season, which is mind boggling, blows away record. Even having 20 holders as a newborn is highly rare. Here's a look at how the BTC ETFs compare to other ETFs launched in Jan (aka the Class of 2024) in this metric. Source: Eric Balchunas, Bloomberg Intelligence Who must file Form 13F? (sec.org) A: Institutional investment managers that use the United States mail (or other means or instrumentality of interstate commerce) in the course of their business and that exercise investment discretion over $100 million or more in Section 13(f) securities must file Form 13F
Michael Burry is back! This time he’s loading up on $10 million worth of physical gold $PHYS
Source: Barchart, CNBC
