Michael Saylor makes silly, bear-themed AI vids... and the tradfi econ journos sort of follow suit!

Yesterday’s epic Treasury rally, and the accompanying rout in tech stocks, had the feeling of a turning point — the sudden arrival of winter after a long summer. The yield on the 10-year fell a whopping 19 basis points, to 4.96 per cent, and the Nasdaq lost 2.6 per cent.

"Thursday was the culmination of a cooling process, not a sudden freeze."

Pessimism overdue; valuations (and income!) was attractive again.

A drop in real yields that is not about central bank positioning is usually about slowing growth expectations, or the perception of rising risks elsewhere in the markets. This looks like the latter — a classic risk-off bond rally, driven by fear

THe stock market (and with it, bonds) have two things going for them:

1. a STRONG ECONOMY: real consumer spending was up 2.5% in Q2... from whom, I wonder
2. CORPORATE EARNINGS: increasing like crazy... estimates 33% this year, and 16% next. Damn, some peeps running away with it

"It’s hard to imagine a proper sell-off taking hold while both of those things remain true."

Have no fear, says the mega bull, "it's time."

archive:
https://archive.md/NPGH4