Joined July 2014
Spot on 👇 Sec Bessent is saying what most of Wall Street already knows but won’t admit: the era of Fed whisperers masquerading as analysts has hollowed out real market thinking. For years, asset prices weren’t driven by fundamentals, they were driven by interpretation of carefully leaked signals, trial balloons, and selective “guidance” fed to a handful of well-connected reporters. That isn’t price discovery; it’s narrative management. When journalists become conduits for policy hints instead of interrogators of policy outcomes, markets stop analyzing and start front-running. Wall St stopped doing objective research, and relied on the Fed to spoon feed them. Wall St thus, never questioned the Keynesian dogma. Wall St became a lapdog for the Fed. The result is a generation of participants trained to decode tone shifts rather than evaluate capital allocation, productivity, or inflation dynamics. If the Warsh Fed is forcing that ecosystem to operate without a script, the discomfort you’re seeing isn’t dysfunction, it’s withdrawal. Markets that can’t function without being spoon-fed aren’t efficient. They’re dependent. A new era has begun and some of the cool kids on Wall St are upset. Let them!
One of the highlights of the Warsh Fed has been watching stenographers posing as journalists, like the WSJ’s Nick Timiraos, reduced to reporting Fed backroom gossip because they’re incapable of performing real economic or monetary policy analysis without being spoon-fed.
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Bernard Arnault going direct is remarkable and worth reading in full The single most impressive thing is that Arnault (personally, not via company spokesman) responds to a major hit piece without at all accepting the role of defendant He never complains about “biased reporters” or “they ignored our fact check” etc. He instead: 1) Does not flinch. He starts by giving the rebuttal a title: “Thank You.” Not “Addressing Recent Allegations” or whatever but implying the expose has backfired and made him look good. Eg: “They used to call me The Terminator. I prefer ‘the last royal family.’ It’s more elegant, and probably better for Dior sales.” Tone stays measured and bemused throughout; it’s giving Logan Roy 2) Lampoons the allegations. His wry humor makes the expose seem silly and theatrical, his tone is like he’s divulging a stupid child. He opens with, “Apparently I am the head of ‘the last royal family of France’.” And drops gems like, “At the Arnault family, apparently, we don’t argue, we conspire. We don’t deliberate, we plot. It’s novelistic… What, in an ordinary family, is simply called Sunday lunch becomes, in our case, an intrigue. It’s a matter of vocabulary.” 3) Reframes the whole narrative. From billionaire to steward, from an oligarch pursuing power to a patriarch preserving an institution built by and for others Eg: “You describe power as though it were a prize to be won. I experience it as a responsibility to be passed on. The houses entrusted to me are older than I am. Most will outlive me. My role is to hand them on stronger than I found them. That is why I reject the idea of a dynasty. Dynasties exist to preserve privileges. We work to preserve craftsmanship.” Interestingly, in the very act of doing this Arnault shows how masterful he is at wielding power, and he summons that skill here to make the reporters look like bumbling neophytes
Merci : la réaction de Bernard Arnault à « l’enquête » du Monde
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You cannot defend the West without defending Greece!
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Nuclear Renaissance
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If you wonder how gold price could be tanking in the face of spiking systemic risks, recall that credit protection on subprime mortgage bonds was tanking in 2005-2007. After 2008, they made a movie about the few who stuck w/their conviction & kept buying.
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Seriously, why even buy an IPO after venture capital has picked over the equity for a decade??? Just buy the post-lockup dump-athon. h/t Truist's Keith Lerner cc @jimcramer @andrewrsorkin @BeckyQuick @SullyCNBC
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This #InternationalWomensDay, I honor the heroic Israeli female fighter pilots and soldiers of the Air Force, making the world safer from the Iranian regime! 💪 ✈️ 🇮🇱
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Family favourite @MiamKitty
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Salty crystal goodness of aged Parmigiano Reggiano @MiamKitty
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🥩 Beef forerib 🥩 + 🍷 @MiamKitty
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Fantastic story against all the odds to become Australia’s richest man. This is how you build a mine. Contrast this iron ore mining success story with the mediocrity of say, NexGen management whose only achievement in recent years is a F1 sponsorship. #uranium @moneyofminepod excellent episode, once again.
The Unbelievable Story of How Fortescue Beat the Odds 🔗 youtu.be/M9mGIKuqyWY • Was Twiggy Forrest just lucky • How close did they come to ruin • Could it be done again?
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Disciplina / Discipline
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BBQ prawns with Maldon sea salt, EVOO, lemon. Tandoori thick cut lamb cutlets @MiamKitty
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The Saudis just bought into SLV. Yes, the Saudi Central Bank. Silver demand is about to get a whole new buyer class. This is not retail FOMO. This is GAME CHANGING.
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Monday. Let’s get after it. 🤝
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Investors seeing the S&P close Q2 at all-time highs a few months after the trade war started
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