3 replies to this topic

[kaiser soze]

Yesterday, they loved the NDX, and today they cannot stand it. Yesterday, they had disdain for consumer staples and non-tech generally, and today they're loved.  Two weeks ago, Utilities were leading Bonds lower to High-Interestville, and today Utilities and Telecom are being bought with both hands.

 

Regarding Big Cap Tech, first they came for FB, now TSLA.  NVDA vulnerable to what happens with Bitcoin.  QCOM cannot be acquired with Uncle Sam's permission.  BRCM is apparently untrustworthy in Uncle Sam's eyes.  Who is next ?  Is the mighty NDX gonna turn into a Roach Motel in a few days ?

 

Crazy, crazy, crazy.  

 

 

[kaiser soze]

More Crazy: Yesterday's story and the story for the last several months or so has been LATE CYCLE ECONOMIC BOOM.  Today's selling of Tech, Banks, Consumer Discretionary and Home Builders screams RECESSION.

[Data]

Chinese firms are being banned from buying out telecom equipment manufacturers.   The hardware produced in the US and China are setup with spyware and malware by the respective governments.  Trump and members of Congress had earlier proposed a military procurement ban. 

 

Notable is treasuries finally rallying on a selloff.

[kaiser soze]

Treasuries rising on the sell-off is also a recessionary indicator.  

 

I think China and US are not just in a Trade-War but all out economic warfare.  US dollar going up - squeeze China which cannot control all three of exchange rates, interest rates and capital flows.  Tariffs on products made by State-Owned Chinese Firms - squeeze China.  Oil Prices going up - squeeze China.  LIBOR increasing - squeeze Chinese firms and high net worth individuals, esp. those who bought lots of property in Western countries using borrowed money.

Edited by kaiser soze, 27 March 2018 - 02:37 PM.