From Energy Drinks to… the dangers of returning to holiday cocktails
The Blind Squirrel's Monday Morning Notes, July 10th, 2023.
The 🐿️ is on the road in Europe for a final weekend of celebrating ‘significant numbers’ in the family. A short note this week with no Acorn Review / Portfolio Update (but early! - party tonight, travelling tomorrow). Resumption of normal service next weekend from Melbourne.
Is the Vodka Red Bull economics we discussed last week creating the perfect set up for a repeat of the long energy / short tech trade that worked so well in the first half of 2022?
Tech stocks might finally be taking notice of higher bond yields and the AI craze looks like it could be taking a breather.
On the energy side, paper oil markets (futures positioning) appear to be completely ignoring the emerging supply/demand imbalance in the physical oil market.
We are revisiting a classic trade of 2022. Will it work again, or suffer the fate of favorite holiday cocktails brought back home?