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Insight - Making Sense of the Narrative


The Pre-Thanksgiving Profit taking is hitting a lot of digital stocks this week, with some of the themes we follow like Digitalisation and Digital Health in particular getting hard hit, while it is also worth noting that the three Tech stocks likely to become Financial stocks that we mentioned last week (Paypal, Mastercard and Visa) all continue to be falling heavily out of favour.

Sometimes it is annoying/alarming to be right. As we noted in Trojan Horses and slippery slopes, the takeover of private sector savings to serve public sector policies is continuing apace.

There is definitely a ‘profit taking’ feel around things at the moment, as Oil and Crypto both sell off and Gold and the Dollar rally.

As we run into Thanksgiving, traditionally the ‘end of the year’ for a lot of trading funds, many market signals are being distorted; by options trading and gamma squeezes in equities and by forced unwinding of curve trades in the bond markets.

While on the one hand the IPO of Rivian this week should put a final nail in the coffin of Tesla’s cyber truck project, on the other hand Rivian itself looks like it may be too late to the party for Electric pickups now that Ford is producing its own version.