China noticed. Beijing has spent the past decade writing checks to Africa. Its Belt and Road initiative poured money into African mining, railways to the mines, ports to ship the ore, refineries to process it — and contracts that guarantee Chinese buyers get first dibs on the output.Africa holds about 30% of the world’s critical minerals . Congo has most of the cobalt. South Africa has the platinum. The continent is loaded with copper, chromium, lithium and rare earths. This is not optional stuff. Cobalt go ...

Core Insights - Investors should pay attention to Japanese government bond yields as a potential Bank of Japan (BOJ) rate hike could significantly impact global markets, particularly tech stocks like Nvidia, Meta Platforms, and Microsoft [1][2]. Group 1: Market Dynamics - Currently, markets are focused on the Federal Reserve cutting rates, while Japan, the third-largest holder of U.S. Treasurys, is moving in a different direction [2]. - The unwinding of the yen carry trade, which has been a crucial factor in the stock market rally over the past decade, could lead to a "giant global margin call" if it occurs too rapidly [2][4]. Group 2: Yen Carry Trade Mechanics - For nearly a decade, Japan maintained near-zero interest rates while the U.S. raised rates, allowing hedge funds and institutions to profit from borrowing in yen and investing in higher-yielding assets [3][6]. - If the BOJ raises rates, even modestly, it could lead to significant changes in the market dynamics, as small movements in the yen could trigger massive leverage unwinds [4][5]. Group 3: Implications of Rate Hikes - Markets are currently pricing in an 80% chance of a BOJ rate hike this month, leading to surging Japanese bond yields and a strengthening yen [5]. - Higher yields could result in lower bond prices, which would exert pressure on tech valuations, impacting companies like Nvidia, Meta Platforms, and Microsoft [7].

Core Insights - The article discusses the implications of the U.S. economy's reliance on Treasury bonds and the potential risks associated with Japan's selling of these bonds, highlighting the importance of understanding the dynamics of reserve currency status and its historical context [6][8][19]. Group 1: Economic Dynamics - The U.S. is running significant deficits, with $2 trillion annually, and a debt-to-GDP ratio of 120%, raising concerns about the sustainability of its fiscal policies [6][18]. - Japan, as a major holder of U.S. Treasuries, has been a key player in maintaining liquidity in the U.S. bond market, but its ability to earn better returns domestically may lead to reduced demand for U.S. bonds [7][12]. - The article emphasizes that the U.S. can print dollars, but this dilutes existing wealth, especially when Treasury yields do not keep pace with inflation, leading to a loss of purchasing power [8][19]. Group 2: Investment Strategies - The article advises against jumping into high-risk investments like Bitcoin without proper sizing and suggests a gradual approach to investing, emphasizing the importance of long-term planning for securing family futures [2][3][4]. - It argues that traditional financial wisdom still applies: spend less than earned, maximize retirement accounts, and avoid excessive debt, with Bitcoin serving as a speculative addition rather than a replacement for sound financial practices [4][5]. - The discussion includes the notion that missing early investment opportunities in Bitcoin does not equate to missing out entirely, as the focus should be on the role such investments play in long-term financial security [5][21].

Group 1 - Treasurys maintained their traditional hedge value, showing a rally in both outright terms and against other forms of duration [1]

Ray Dalio warns that U.S. Treasurys face risks from $37 trillion debt and money printing. The billionaire investor recommends allocating 10-15% of portfolios to gold as a safer hedge. https://t.co/bXMYx2BsoS ...

RT shαs (@XBT002)📰 Here are some of today's top stories out of EMEA from @TheBlock__ for your perusing pleasure:EXCLUSIVE: @AvailProject has acquired @ArcanaNetwork, a chain abstraction protocol, with all XAR tokens to be swapped for AVAIL at a 4:1 ratio. @Yogita_Khatri5Whale activity drove a 2.5x price spike on @HyperliquidX's XPL pre-launch market, sweeping liquidity and triggering liquidations, which led to auto-deleveraging. The team said there were no technical failures or bad debt, but it will introdu ...

Core Viewpoint - Investors are increasingly shifting towards emerging market bonds as U.S. Treasurys lose their status as a safe haven due to recent tariff announcements by President Trump [1][2]. Group 1: Market Trends - Emerging market local currency bond yields decreased by 13 basis points from April 2 to April 25, while the benchmark 10-year Treasury yield increased by over 7 basis points during the same period [2]. - There is a notable increase in demand for bonds from countries like Mexico, Brazil, and South Africa, driven by overseas investors purchasing these bonds, which also boosts demand for local currencies [3][4]. - The sell-off in U.S. Treasurys has led to a movement towards alternative safe-haven assets such as Euro bonds and Japanese government bonds, although this is a typical behavior in developed markets [5]. Group 2: Investor Sentiment - Investors are beginning to view emerging markets with a new perspective, as previous assumptions about their performance during a potential U.S. recession are being challenged [6][8]. - Emerging market local currency fixed income is expected to outperform other fixed income assets in a weaker U.S. dollar environment, lower commodity prices, and global rate relief [7]. - The relative underperformance of U.S. risk assets has sparked interest among domestic investors in potential opportunities abroad [9]. Group 3: Investment Strategies - While there is a preference for emerging market local currency bonds, it is still early to determine the exact direction of global investors' bond rotations [10]. - Some investors are not completely exiting U.S. sovereign debt but are instead shifting from long-dated bonds to shorter-duration options like 2-year Treasurys [10][11]. - The recent changes in Treasury yields indicate a potential shift in the perception of U.S. Treasurys as the ultimate safe asset, prompting a reevaluation of asset allocation strategies [11].