Hedge funds sold Hong Kong and Japanese stocks last week, Goldman Sachs said in a note, just before the tech-heavy Hang Seng and Nikkei indices fell in the last two trading sessions on worries over over-inflated tech values. ...

The S&P 500 is on track to finish the year up 16%, delivering a third consecutive year of double-digit returns that outpace historical averages. The gain, which comes on top of a whopping 23% and 26% return in 2024 and 2023, respectively, is mainly due to surging interest in artificial intelligence and a friendlier Federal Reserve. The rise of AI, sparked by the massively successful launch of OpenAI's ChatGPT three years ago, has drawn comparisons to the dawn of the Internet. Big tech has already spent h ...

Group 1: Immigration Policy Impact - Trump's announcement of a "permanent pause" on migration from "Third World Countries" and a review of green card holders could significantly impact the labor market, potentially reducing U.S. workers by 6.8 million by 2028 and 15.7 million by 2035, which may slash annual economic growth by nearly a third [4][3] - Analysts are divided on the implications of these immigration policies, with some predicting a "pro-growth" agenda while others warn of labor shortages and a potential "wage-price spiral" [3][4] Group 2: Tariff Threats and Economic Implications - Trump is threatening a 60% tariff on Chinese goods and a 10-20% tariff on other imports, which could lead to increased inflation and slower investment growth, as noted by Nomura [5] - The market has previously reacted to tariff announcements with volatility, as seen in the EU-US trade deal where a 15% tariff was imposed, initially causing a rise in European markets before reversing [5] Group 3: Market Reactions and Stock Performance - On November 28, 2025, major U.S. indices saw modest gains, with the S&P 500 up 0.5%, Dow Jones up 0.6%, and Nasdaq up 0.7%, attributed to Trump's pro-growth rhetoric and the performance of tech stocks [4][7] - Despite the overall market gains, individual tech stocks like Nvidia and Oracle faced significant losses, indicating that even leading companies are not immune to valuation concerns [7][8] Group 4: Geopolitical Tensions and Commodity Markets - Trump's threats of military action against Venezuelan drug networks have contributed to increased geopolitical tensions, which typically benefit commodity markets, as evidenced by a rise in WTI crude oil and precious metals [9] Group 5: Analyst Sentiment and Economic Forecasts - Analysts express a mix of cautious optimism and frustration, with J.P. Morgan anticipating a mostly market-friendly agenda but highlighting risks from labor supply shocks, while Goldman Sachs projects a 2.5% U.S. economic growth in 2025, tempered by potential tariff impacts [10]

Bitcoin is holding firm near $87,000 after a five-day rally restored some confidence following a bruising 30% slide from October’s highs. But analysts are cautioning that the next major breakout may not come until 2026, even as macroeconomic conditions improve and Wall Street’s appetite for riskier assets is growing. “Bitcoin has been struggling to reclaim the $90,000 level for far longer than most market participants expected,” Koinly CEO Robin Singh told DL News. He said the market is drifting into it ...

Group 1 - The Data Driven Investor has achieved significant returns, with a Long Term Growth Portfolio up nearly 194% since 2018, driven by disciplined strategy and risk-aware execution [1] - The service focuses on uncovering alpha in the AI revolution while managing downside risk in a volatile tech landscape [2] - The investment approach includes Options Ideas for short-term income generation, Quantitative Stock Strategies, stock picking algorithms, Macro analysis, and tactical ETF strategies [2] Group 2 - Andres Cardenal, CFA, leads The Data Driven Investor, bringing over 25 years of experience in investment research and strategy development [2] - The company emphasizes a transparent approach to investing, with a 4.9-star average rating [1]

Core Insights - The U.S. government bond market has reversed its earlier gains, with the 10-year Treasury yield rising from a low of 4.068% to 4.583% [1][2] Group 1: Stock Market Dynamics - The tech stock selloff has continued for four days, prompting investors to seek safety in government bonds [2] - As the stock selloff has tempered, bond prices have decreased, indicating a shift in investor sentiment [2]

Core Insights - The rally in tech stocks has significantly benefited large-cap growth funds, indicating a strong performance in the technology sector [1] Group 1 - The ongoing rally in tech stocks has been a key driver for large-cap growth funds, showcasing the resilience and attractiveness of the technology industry [1] - The article references a historical context with a Financial Flashback to "Dow 5000," suggesting a comparison to past market milestones and investor sentiment [1]

Core Viewpoint - The article discusses the potential return of the Federal Reserve's Zero-Interest Rate Policy (ZIRP) and its implications, suggesting that while ZIRP may be reinstated to stimulate the economy, it could lead to a new era of Zero Adaptive Policy (ZAP) that fails to address current economic realities and exacerbates wealth inequality [1][3]. Economic Dynamics - ZIRP aims to lower borrowing costs to stimulate spending and inflate asset prices, primarily benefiting the wealthy, while the bottom 90% of the population experiences stagnation or decline in economic conditions [1][2]. - The top 10% of earners own approximately 90% of all stocks and a significant portion of other income-generating assets, leading to a widening wealth gap [1][3]. - The current economic environment is characterized by systemic inflationary pressures, rising risk premiums, and a lack of deflationary impulses from China, which complicates the effectiveness of ZIRP [1][2]. Wealth Inequality - The article highlights that the benefits of ZIRP and the "wealth effect" have not only diminished but have turned negative, contributing to increased wealth-income inequality and social instability [2][3]. - Spending by the wealthy constitutes about half of all consumption, indicating that the economy is heavily reliant on the financial well-being of the top earners [1][2]. Historical Context - The article references three significant asset bubbles in recent history: the dot-com bubble, the housing/stock bubble of 2007-08, and the current "Everything Bubble," suggesting that past methods of inflating asset prices may not be effective in the future [2][3]. - The velocity of money has been declining, indicating that previous economic growth has not translated into widespread benefits for wage earners [3]. Future Implications - The potential reinstatement of ZIRP may lead to ZAP, where the policy becomes ineffective due to changing economic conditions, further entrenching wealth inequality rather than alleviating it [1][3]. - The article warns that simply repeating past policies will not generate growth but could instead lead to greater instability in the economy [1][2].

Core Insights - The dominance of a few mega-cap tech and AI stocks in the S&P 500 Index has created a concentration risk for investors, prompting them to seek alternative hedging strategies [1] - Investors are increasingly turning to cash, gold, and cryptocurrencies as uncorrelated assets to mitigate this risk [2][3] Investment Trends - ETF flows indicate a significant shift towards cash, precious metals, and cryptocurrencies, with these being the most popular trades among investors this year [2] - The allocation to gold and crypto is still relatively small, typically ranging from 1-3% for crypto and 3-7% for gold, but these allocations are on the rise [3] Gold Market Dynamics - Gold has seen substantial selling recently but remains up over 60% for the year, with record highs above $4,400 driven by central bank buying and geopolitical risks [4] - The SPDR Gold Shares (GLD) has experienced approximately $6.8 billion in inflows over the past month, contributing to nearly $40 billion in net inflows for gold funds this year [4] Cryptocurrency Developments - Cryptocurrencies have gained traction as a hedge, with Bitcoin returning 17% and Ethereum 15% this year, although gold's performance has outpaced them [5] - The introduction of spot Bitcoin ETFs has attracted institutional investment, legitimizing digital assets as portfolio components, with the iShares Bitcoin Trust (IBIT) managing close to $90 billion in assets [5] ETF Market Evolution - The evolution of ETFs has allowed investors to access diverse market strategies, moving from large-cap equities to alternative exposures like gold and emerging markets [6] - The rapid development of regulated ETFs for cryptocurrencies has transformed Bitcoin and Ethereum from speculative assets to recognized components of diversified investment strategies [7]

Group 1 - The focus has shifted from primarily tech stocks to include offshore drilling, supply industry, and shipping sectors such as tankers, containers, and dry bulk [1] - There is an emerging interest in the fuel cell industry, which is still in its nascent stage [1] Group 2 - The individual has a background in auditing with PricewaterhouseCoopers and transitioned to day trading nearly 20 years ago [2] - The experience includes navigating significant market events such as the dotcom bubble, the aftermath of the World Trade Center attacks, and the subprime crisis [2]