Tomorrow’s Musk’s Shocking Final Move | Bonds & Fixed Income

Did China make Trump blink? Or did the bond market? Or was all of it Trump’s ‘Art of the Deal’ at work?

Strike me pink…however I’ve no concept. US shares soared in a single day. The ASX will scream increased right now.

Is it simply a bear market rally?

The thoughts spins. My thoughts, anyway.

Suffice to say, making an attempt to make sense of excessive volatility like now could be a nightmare, not to mention trading it.

I’ll recommend an different.

The best wealth creation occurs whenever you establish transformative modifications earlier than the gang.

Make the appropriate strikes early.

And keep the course.

Often, instances of market upheaval are the proper camouflage to make these strikes…choosing good entry factors into historic investment alternatives.

The future belongs to those that can see past right now’s headlines to tomorrow’s actuality.

That’s the essence of what we’ve been speaking about this week with Musk’s Shocking Next Move.

“I’ve been waiting 40 years for a moment like this,” says James Altucher.

Tomorrow, in Fat Tail Daily, he explains in full what this second is.

For now, James provides you a little appetizer

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“AI’s blast off phase is at our doorstep, and when it ignites, I predict this un-paralleled technology will not only make our lives better, more efficient and more creative in countless ways…

“But will lead to the creation of an untold number of new businesses and investment opportunities set to change the financial fortunes of thousands of people for generations to come.

“This new upgrade of generative AI is shaping up to be Elon Musk’s pinnacle achievement. And, man, is that some claim. We’re talking about a guy who single-handedly mainstreamed EVs, reinvented wireless Internet and changed how we send rockets to space.

“Love him or hate him, Elon does NOT mess around.

“Which is why you need to get a handle on how he plans to disrupt the AI disruption in the coming months.

“Get ahead of this, and make the right investments while everyone else is freaking out or selling…and you could be thanking yourself for years to come.

“See, Team Musk has been working on a powerful iteration of AI that could make everything we’ve seen so far look like baby-steps. And it has the potential to leave the gains we’ve seen so far in AI stocks in the dust.

“That’s because AI is shifting from a fun sort of toy, interesting to play with but not a real game-changer, to a truly world-altering technology that could help us solve our biggest problems – like curing genetic disorders and cancer, extending lifespan, bringing self-driving cars and many more things we haven’t even considered yet.

“What’s coming, perhaps in the next few months, will not only help us make sense of the vast quantities of data generated in the world each day but also give that power to intelligent machines with much greater “mental” sources and skills to make sense of it.

“And this new era of turbocharged AI is about to be unleashed thanks to the world’s most prolific and successful entrepreneur: Elon Musk.”

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What is that this disruption?

Make sure you don’t miss our particular Fat Tail Daily unique tomorrow…

Best needs,

Callum Newman,
Editor, Small-Cap Systems and Australian Small-Cap Investigator

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It appears to be like like Trump blinked after watching markets get so close to a crash yesterday afternoon.

The largest scare was when the US 10-year bonds began promoting off aggressively within the in a single day session (our day session).

There was discuss of the premise trade blowing up. That is when massive traders buy bonds and promote futures to choose up pennies when there’s a mispricing.

But they leverage up the place massively as a result of it’s imagined to be just about risk free money.

But when markets dislocate they’re pressured to unwind these positions shortly.

There have been additionally people saying the bond promoting was China giving a two finger salute to Trump.

Perhaps it was pressured liquidations to raise money ranges for funds that have been getting margin calls.

Whatever the explanation, a crashing bond market in addition to crashing equities isn’t what Trump was after and he will need to have determined it was time to retreat.

That may very well be offering a second chew on the cherry for traders who want to gain publicity to US bonds.

The bond yield chart above (which strikes inversely to price) gave a promote signal on yields (a buy signal on the bonds) a couple of months in the past.

That bond buy signal stays dwell and the soar in yields yesterday simply took bond yields up to a key resistance degree.

Over the final day bond yields have dropped from 3.50% to the present degree of 4.27%.

Just a few days in the past they have been 3.90%.

If issues are going to settle down from right here I might count on to see bond yields falling again with an initial goal to three.70%.

The iShares 7-10 Year Treasury Bond ETF [NASDAQ:IEF] appears to be like fascinating at these ranges.

Regards,

Murray Dawes,
Editor, Retirement Trader and Fat Tail Microcaps

All advice is basic advice and has not taken under consideration your personal circumstances.

Please search unbiased financial advice concerning your own state of affairs, or if unsure in regards to the suitability of an investment.

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