An agreement would mark the most significant de-escalation of the war since Russia invaded Ukraine in early 2022.
Source: FT
This graphic, via Visual Capitalist's Kayla Zhu, visualizes the share of exports and imports that move through the Taiwan Strait, broken down by the G7 and BRICS countries.
With China continuing to conduct military drills near Taiwan, as well as recently reaffirming that use of force will always remain an option to bring Taiwan under its control, concerns have grown over how potential Chinese actions in the region could impact global trade through the Taiwan Strait.BRICS countries overall are more exposed to disruptions to trade routes in the Taiwan Strait, specifically China, the United Arab Emirates, and Iran. The latter two have 24% or more of its exports pass through the strait. China and Japan are the most reliant on the Taiwan Strait for both imports and exports, specifically imports. Almost a third of both countries’ imports pass through the Taiwan Strait. Source: Visual Capitalist, www.zerohedge.com
JUST IN: Chinese President Xi Jinping says BRICS must promote a new financial system.
"There is an urgent need to reform the international financial architecture, and BRICS must play a leading role in promoting a new system that better reflects the profound changes in the international economic balance of power."
BREAKING: Donald Trump now leads in all swing states in the 2024 election with a 60% chance of winning the election.
With over $100 million traded on Kalshi, election markets continue to suggest Trump's lead is widening. The election is now 11 days away. Source: The Kobeissi Letter
US ASKS G-7 TO CONSIDER SANCTIONS ON RUSSIAN PALLADIUM, TITANIUM
Palladium will soar if this goes through: Russia makes 40% of the world's palladium
Emancipation from the West and the quest for multipolarity is one one of the megatrend we are currently following.
The BRICS Summit in Kazan is one illustration of this trend. Narandra Modi on X: "With fellow BRICS leaders at the Summit in Kazan, Russia. This Summit is special because we welcomed the new BRICS members. This forum has immense potential to make our planet better and more sustainable". The “BRICspansion” is part of a plan to “reshape global governance into a ‘multipolar’ world order that puts voices of the Global South at the center of the world agenda. This megatrend have important consequences on the geopolitocal, macro and markets side. Among them: - De-dollarization and lower demand for US Treasuries - Reshoring, friendshoring, nearshoring - From "just-in-time" inventory to "just-in-case" inventory - Higher demand for commodities including precious metals - Structurally higher inflation
Tuesday humour
Source: Wall Street Silver
A fascinating chart by James Bianco ->
The 10-year yield (blue) and Trump's Political Betting probabilities (orange). The chart starts the day Biden dropped out. Coincidence, or are these series related? If they are related, what happens to 10-year yields if the orange line (man) goes to 100 in 14 days? Source: Bianco Research