Brave New World: Tail risks, sectoral rotation and the problem with gold

Ritesh Jain

Global Macro Investor & One of Top 3 Global LinkedIn Influencers on Economy and Finance, Mumbai

He is a trend watcher, Global Macro investor and Blogger at worldoutofwhack.com. He has over 20 years of experience in financial markets, bonds, equities, gold, and derivatives. He muses about global macro investment opportunities, economics, business, and financial issues.

Ritesh Jain, a Dalal Street veteran, trend watcher and Global Macro Investor, captures global macro investment opportunities and economic, business and financial trends with charts and commentaries in this space.


Inflation expectations are on the rise
If consumers expect prices to remain stable, then they don’t rush to buy goods, but if they expect prices will rise tomorrow, then they will buy “today”.

Brave 1ET CONTRIBUTORS

New job postings via Indeed.com continue to look strong

Brave 2ET CONTRIBUTORS



Postings will continue to rise, but the openings will be difficult to fill because of generous unemployment benefits. This will lead to rising wages.

Prices of used cars and trucks of up to eight years old that were sold at wholesale auctions in US during the week ended March 21 jumped by 3.1% from the prior week.

Brave 3ET CONTRIBUTORS

  • This is mostly a chip problem, but I believe this will happen in more industries due to broken supply chains.
  • We are moving from globalization to deglobalization. Companies that can secure their supply chains will be big winners.

Sector rotation continues

Brave 4ET CONTRIBUTORS



Market is just continuing to churn, but I think new highs lie ahead in S&P.

This chart explains it so well!
The problem with gold is rising real yields.

Brave 5ET CONTRIBUTORS



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