US equities sold off sharply on Friday amid rising geopolitical concerns.
Premium Commentary
Goldman Says Stay long copper and aluminium
It is important to recognise that these exchange focused rule adjustments are taking place in an environment where fundamentals for copper and aluminium are inflecting into a sustained tightening direction, after two benign years for fundamentals in 2022 and 2023.
Indeed, the strong performance of the industrial metals complex over the year so far is a trend we expect to gather momentum ahead. This view particularly resonates with copper and aluminium,
Much more at bottom…
Price Action:
Gold-
Silver-
Miners-
Oil-
BTC/ETH-
Stocks-
Bonds- YCC is coming
Dollar- steady as she goes.
Market News:
Geopolitical risk rose over the weekend with Iran’s attack on Israel. We will be watching oil prices, currency/Treasury markets, and how this event shifts investor perceptions of future Fed policy. Gold as well obviously. Crude prices are The US’s chief concern.
GEOPOLITICS
Pax Americana is ending
What happened?
Iran attacked Israel directly
Why did Iran do that?
Because they’re Israel and Iran
How successful was it?
materially, little to no, data wise, excellent
Israel support sites missile failures
Iran support cites penetration to airbase as goal
What was Israel’s response
No response within 48 hours
Asymmetric, commensurate, or weak
Difficulty in air attack, US involvement
Why did they do that?
Possibly US request, “Take the Win”
Possibly Israel knows a multi front war is not winnable w/o nukes
What will happen next?
That’s the question.. no response, delayed response or coordinated response
