MAD Macro - Cheaper by the Dozen
Elon Galt Musk Believes in Cheaper by the Dozen
Whose Turn Is It to Buy?
Elon Galt Musk has 12 children. I wonder why Elizabeth Warren and AOC think billionaires are not working hard. They may think billionaires are not paying their fair share but Elon is siring his fair share of children. Elon has more children than companies. Can you tax that? That’s hard work and Elon is a hands-on manager. I guess he sleeps on more than factory floors. With 12 children he has a good start on populating his Mars colony. Maybe Elizabeth and AOC could go after Elon for abusing the child tax credit. Elon Galt Musk must be doing something wrong. Why does he get to be the richest person in the world and have 12 children? Elizabeth has two children with her first husband. Surprisingly, she was 19 years old when she married her first husband. She was remarried in 1980 and did not have more children. When you work at Harvard, having children could be considered bad for the environment. AOC has not had any children. She does not think it’s a good idea to bring children into this terrible world and country. Funny thought, maybe AOC will have children if the Orange Mad King I wins in November. It would be very Costanza for her to get married and have children if the Orange Mad King I wins.
Bitcoin became a little cheaper yesterday. Michael Novogratz, Michael Saylor and Cathie Wood must have had a misunderstanding about who was supposed to buy yesterday. Last night they had a conversation.
Michael Saylor, “Listen, I already leveraged my balance sheet but I can buy a little more. It should hold around the 200 day, hopefully”.
Michael Novogratz, “Michael and Cathie, I still need to pay for having my Luna tattoo removed. But ok, I can buy a little more. Cathie you have other people’s money. You buy more”.
Cathie Wood, “Boys, c’mon, you need to buy. I can’t buy more because then I need to sell something and I already sold too much Nvidia. I don’t know if you are aware but I have had some outflows. Investing in disruption is hard”.
It looks like the buying is working. Bitcoin has recovered overnight and it held in the support range of 56,500 to 59,000. I still wonder whether bitcoin is trading more like a risk asset or a safety asset. I am going to stick with the charts. There is good support between 56,500 and 59,000. The 200 day average is also good support at 57,500. If it breaks below 56,000 most of the new bitcoin ETF buyers will be underwater.
Two more days until the Super Debate. Hillary has a revealing opinion article on the debate in today’s NYT. It’s linked here. No surprise, you can almost feel the hatred for the deplorable Orange Mad King I when reading the article. Hillary, as debate coach, has some good advice for the Tin Man. The bigger question is, does the Tin Man still have the moves? If not, Hillary will pull the quarterback and take over her team as player coach. This really is Super Debate week. All of the political pundits are out analyzing and over analyzing the debate.
Markets are mixed this morning. Bitcoin is higher after testing support overnight.
I updated the U.S. Dollar Index, U.S. 10yr yield, U.S. 10yr-2yr yield spread, WTI crude oil, NY copper, spot gold, bitcoin, S&P futures and NASDAQ 100 futures charts below.
The dollar is a little stronger today. Interest rates are unchanged and the curve is a little more inverted.
Crude oil and copper are a little lower and gold is unchanged. Bitcoin is higher after selling off sharply yesterday. I highlighted the support range again on today’s chart update.
The S&P and NASDAQ 100 futures are higher. There has been a lot of market rotation over the last week as Nvidia corrected 10% from its recent highs.
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S&P 500 futures are a type of derivative contract that provides a buyer with an investment priced based on the expectation of the S&P 500 Index’s future value. Nasdaq 100 futures are commodities futures products traded within the equity futures sector. West Texas Intermediate (WTI) oil is a benchmark used by oil markets, representing oil produced in the U.S. Brent Crude Oil is a blend of crude oil recovered from the North Sea in the early 1960s, whose price is used as a benchmark for the commodity's prices. The U.S. dollar index (USDX) is a measure of the value of the U.S. dollar relative to the value of a basket of currencies of the majority of the U.S.'s most significant trading partners. UBS Bloomberg Constant Maturity Commodity Index is a total return rules-based composite benchmark index diversified across commodity components from within specific sectors.
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