Safe Space: AI and Debt Ceiling Free

May 22, 2023

∙ Paid

I have no doubt that AI is a great technological leap forward, with massive societal impact. Dogs chase squirrels. This squirrel is not going to start chasing NVDA at 180x earnings and 29x revenues!
Our current risk-off stance claimed its first FOMO scalp this week. We have missed that jumbo breakout in Japanese equities. We still think there is plenty of time to get into the trade but want to get the currency right first.
Why is the trend following community still so short the Yen (and for that matter the front end of the US Treasury curve)?
We (reluctantly) sold some more copper with Dr Copper’s failure to recapture its 200-day moving average last week. We shall be back!
If drilling crude oil and copper is everybody’s favorite recession trade, someone needs to explain why semis (ex NVDA and AMD) are so strong. I have a geopolitics theory AND A READER POLL (please vote!)

I have no doubt that AI is a great technological leap forward with mas…

Blind Squirrel Macro