While G7 claims can offer short-term tactical opportunities, soaring G7 debt levels at the the of high yields mean that the long-term risk-reward remains unattractive.
Source chart: Bloomberg
Is Taiwan risk the biggest risk for the economy and financial markets in 2024? See below a scary chart by Bloomberg
Source: Bloomberg
Nvidia, $NVDA, has already added another $130 billion of market cap in 2024 and we're only 6 trading days in
Since its low in October 2022, $NVDA has officially added $1 TRILLION in market cap. As of today, the stock is officially up 400% from its 2022 lows. In 2 years, Nvidia has gone from barely being a top 30 company by market cap to being the 6th largest public company in the world. Source: The Kobeissi Letter
Why investors should embrace risk in one chart by Charlie Bilello:
Annualized Volatility since 1928... Stocks: 19.6% Bonds: 7.7% Cash: 3.0% Annualized Returns since 1928... Stocks: +9.8% Bonds: +4.6% Cash: +3.3%
This is an AI generated chart
Source: Murilo Pereira
In case you missed it...what's going on with Citigroup?
Yesterday it had its lowest close of 2023, back to the panic levels of mid-March when Silicon Valley Bank failed. Source chart: James Bianco
These charts by Bank of America show that every single episode of a local peak in UST 2yr yield was followed by some risk-negative event over the past 40 years.
These #charts by Bank of America show that every single episode of a local peak in UST 2yr yield was followed by some risk-negative event over the past 40 years. Such episodes ranged from mild (Mexican peso crisis in Dec 1995; HY +95bp) to moderate (Asia FX crisis in Oct 1997; HY +350bp ) to severe (GFC; HY all-time wides). The lag between the peak in 2yr yield and subsequent event varies from just a couple of weeks to just over a year, with an average being 7 months. Source: BofA, www.zerohedge.com
