The information in this message does not represent any financial or investment advice. They're just random thoughts in my head.
gm
MACRO - Some interesting moves across the market today. Yesterday inflation came in at 4.9% vs 5% expectations with core at 5.5% which was in line with expectations. It's yet another month of lower inflation for the US economy, the 10th month in a row actually. The big question we'll all be wondering is where does it bottom out, noting we're still basically 3 percentage points above the Fed's target rate. Equities had a decent day yesterday closing a small amount higher and are marginally lower this morning. We've seen a pretty insane move in treasuries once again which sees 2Y all the way back to 3.82% having been as high as 4.05% yesterday and I think that goes to show the fear that was baked in ahead of yesterday's CPI number. Today we also had the PPI number which came in at 2.3% vs 2.4% expectations, and lower than last month's 2.7%...so yet another indicator that inflation is heading lower and this probably explains the move in interest rates we're seeing today.
CRYPTO - It's been interesting to watch crypto struggle here with BTC at 27.4K and ETH at 1820 and I can't quite figure out where the technical selling is coming from. The dislocation vs macro is once again rather apparent and the price action we've seen makes me thing that if we saw a high inflation number we probably would have been more likely to see crypto rally. Altcoins also continue to struggle with most of my screen down about 8-10% across the board. It's been a notable underperformance of crypto and it does beg the question what the right point is to step in. A lot of technical analysis I see on Twitter is rather bearish; of course, I'm not much of a believe in charts but make of it what you will. Personally with my DCAing of 2022 I don't feel the need to throw more fiat in here so it's still a case of sitting on my hands for the big positions.
NFTs - The biggest volume yesterday was in Milady after Elon Musk tweeted an image of a Milday with a rather peculiar meme. The FP hit as high as 8ETH before receding back to 4.8ETH, which is still up 34% in the last 24H. Elsewhere everything else is down a further 3-5% as run-of-the-mill pfps continue to struggle. A bright spot in the market is of course Alpha Centauri Kid's Broken Keys auction which comprised 49 1/1s and netted over 700ETH in total. What that (and the memecoin market) does tell you is people do have capital to put to work, but they have just learnt to be extremely selective about it!
GL today
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