- The NOK should be more correlated with global asset markets (outside of Norway) than the Norweigen economy, says Tor Vollalokken.
- Industrial capacity utilization is up, but still on a downward trend. This will depress inflation expectations.
- Coinbase is IPOing. The population is going mad about SPACs and Bitcoin.
- Modi names the biggest cricket stadium in India after … himself!
- Jobless claims in the US are dropping.
Wrap
Inflation seems to be rearing its ugly head. That’s very bad for markets (i.e. long investors), it seems.
- 10Y Treasuries up to 1.49% yield,
- QQQ down 3.4%,
- SPX down 2.3%,
- $TSLA down 7.6%,
- Crude up 0.35%, but most others down (except Live cows and lean hogs),
- DXY up a fraction (90.225),
Stolen from the FT.
Thoughts
This is not far from Warren Buffett’s famous example of a stadium full of people flipping coins, where after 20 tosses all but a few, imbued with magical powers of coin flipping, remain. I think there is some skill in trading. Not as much as most portfolio managers would like you to think, but more than none.
A thread on trading in early 2021
— Steven Goldstein (@AlphaMind101) February 25, 2021
So imagine you turn up at the biggest poker table in the world with a wad of money, you are playing against all the other poker players. You start off well (luck will favour some) and think ‘wow I’m good at this’.
1/9
Comments !