candor in Davos
market vibes
January 21…)
“And I took a seat in the grandstand of philosophical detachment to fall asleep observing the cannibals do their death dance.”Eugene O'Neill, The Iceman Cometh
In the news
“Jefferies’ Christopher Wood removed a 10% allocation to Bitcoin from his model portfolio due to fears that quantum computing could undermine the cryptocurrency’s security. The once-distant threat of quantum computing has prompted one of the most closely followed market strategists to walk away from Bitcoin, underscoring how doubts over the token’s security are creeping into mainstream portfolio thinking. (BBG)”
In the markets
The vortex is punishing CTAs and hedgers in natty. Zero farenheit in Morristown this morning.
I own nat gas equities and pipelines. In early December natty fell down and I called a pal who knows about these things. He said, The forecasts for the end of December are warm and the first 3 weeks of January … very warm.
I am a student of exchange data because it can’t be fictionalized like weather reports in service of short sellers. Nat gas is cheap, available, and to borrow a phrase from the old days… shovel ready…. at least half of 1,614,000 lots of shorts to burn.
The rub is when not what. I thought we’d reprice it to $5 last year. I was wrong. At any rate when it comes I will be in.
Gold at $4865 is ready to blow through $5000 like a candy wrapper in a hurricane. This is a monthly chart illustrating the acute long time frame shortage of gold futures.
