An ugly week on the macro side – hotter than expected inflation, slower than expected growth, weaker than expected labor market data…
Source: Bloomberg
…but the inflation issues sent rate-cut expectations reeling (now less than 3 cuts priced in for 2024)…
Source: Bloomberg
And as rate-cut expectations fell, Treasury yields rose… non-stop… all week with the belly of the curve underperforming (5Y yields up 28bps on the week)…
Source: Bloomberg
Yields all ended back up near their year-to-date highs…
Source: Bloomberg
Higher yields were initially shrugged off by stocks but as they kept rising, there was no arguing…
Source: Bloomberg
Small-Caps and Big-Tech were the week’s biggest losers…
Banks were not pretty this week as The Fed’s BTFP facility expired…
…and liquidity was sucked hard out of the RRP. $108BN drawn down in the last two days to fresh cycle lows…
Source: Bloomberg
Anti-Obesity drug stocks dared to end red…
Source: Bloomberg
AI stocks also pumped and dumped on the week…
Source: Bloomberg
The dollar surged this week – as BoJ chatter picked up – with its best week since mid-Jan (rebounding some from last week’s dollar-plungefest)….
Source: Bloomberg
The dollar’s gains were gold’s losses as the precious metal ended the week down 1%…
Source: Bloomberg
Despite big net inflows this week…
Source: Bloomberg
…bitcoin ended the week only marginally higher (up around 3%), with choppy moves (day-session dips bought overnight), but ened back above $70,000…
Source: Bloomberg
…and ethereum was a little worse, down around 3%, on the week (thanks to Democrats’ letter overnight pressuring the SEC on ETH ETFs)…
Source: Bloomberg
NatGas erased most of last week’s gains…
Source: Bloomberg
Still there were some bright spots…
Crude surged on the week, breaking out of its range to its highest since early November…
Source: Bloomberg
And as goes crude, so goes wholesale gasoline… and then goes pump prices…
Source: Bloomberg
..but it was copper that really regained its legs, surging up to its highest since Feb 2023…
Source: Bloomberg
Finally, was this week’s ‘stalling’ in NVDA ‘the top’?
Source: Bloomberg
How ironic would it be if we saw peak AI just as Jensen unveils his latest and greatest at GTC on Monday?
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