{"id":16792,"date":"2024-01-04T22:01:08","date_gmt":"2024-01-04T20:01:08","guid":{"rendered":"https:\/\/www.liberalglobe.com\/?p=16792"},"modified":"2024-01-04T22:01:08","modified_gmt":"2024-01-04T20:01:08","slug":"where-is-the-smart-money-looking-for-refuge-while-wall-street-is-at-historic-highs","status":"publish","type":"post","link":"https:\/\/www.liberalglobe.com\/?p=16792","title":{"rendered":"Where is the &#8220;smart money&#8221; looking for refuge while Wall Street is at historic highs?"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">Wall Street may be at all-time highs, but &#8220;behind the lines,&#8221; there&#8217;s a mass exodus from bonds, a frenzy for gold, and a dollar selloff.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">&#8220;Smart money&#8221; is looking for safe havens. And all this while the markets worldwide are experiencing, more or less, a santa rally, giving the message that everything is fine. But the movements of several major stocks, which usually lead bull markets, are experiencing a downturn.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">At the same time, the dollar was dumped while gold, bonds, the Swiss franc and cryptocurrencies rose.<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"324\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-122.png\" alt=\"\" class=\"wp-image-16793\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-122.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-122-300x194.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n<\/div>\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Notably, 0-DTE call coverage was very high.<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"278\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-123.png\" alt=\"\" class=\"wp-image-16794\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-123.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-123-300x167.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n<\/div>\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Swiss franc surges against US dollar &#8211; second biggest &#8216;absolute safe haven&#8217; of the year outside FOMC\/ECT days,<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"395\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-124.png\" alt=\"\" class=\"wp-image-16795\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-124.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-124-300x237.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n<\/div>\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This lifted the franc to its strongest level since the SNB intervened in January 2015. 2023 saw the Swiss franc&#8217;s strongest annual gains against the dollar since 2010.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"288\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-125.png\" alt=\"\" class=\"wp-image-16796\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-125.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-125-300x173.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">2-year yields have collapsed as a wave of safe-haven buying has hit many asset classes.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"288\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-126.png\" alt=\"\" class=\"wp-image-16797\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-126.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-126-300x173.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">But the entire curve was underperforming.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"287\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-127.png\" alt=\"\" class=\"wp-image-16798\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-127.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-127-300x172.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The bond rally pushed the 30-year 2023 yield lower.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"286\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-128.png\" alt=\"\" class=\"wp-image-16799\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-128.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-128-300x172.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In other words, Fed funds are rising by 100 basis points annually and the rest of the curve is flat or lower in yield.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"285\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-129.png\" alt=\"\" class=\"wp-image-16800\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-129.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-129-300x171.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The S&amp;P 500 rose in the strong 5-year auction (as yields fell) but turned it all around.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"263\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-130.png\" alt=\"\" class=\"wp-image-16801\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-130.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-130-300x158.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The dollar fell.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"284\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-131.png\" alt=\"\" class=\"wp-image-16802\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-131.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-131-300x170.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The dollar hit its lowest level since July.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"247\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-132.png\" alt=\"\" class=\"wp-image-16803\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-132.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-132-300x148.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The dollar&#8217;s loss was gold&#8217;s gain as the precious metal soared.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"285\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-133.png\" alt=\"\" class=\"wp-image-16804\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-133.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-133-300x171.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">And it closed at a new record.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"285\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-134.png\" alt=\"\" class=\"wp-image-16805\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-134.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-134-300x171.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A big day in crypto with Ethereum gaining significantly.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"288\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-135.png\" alt=\"\" class=\"wp-image-16806\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-135.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-135-300x173.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">But short-term liquidations were noted in ETH.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"288\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-136.png\" alt=\"\" class=\"wp-image-16807\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-136.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-136-300x173.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">ETH\/BTC at recent key resistance.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"214\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-137.png\" alt=\"\" class=\"wp-image-16808\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-137.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-137-300x128.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Bitcoin extended the rally back to $43,500.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"274\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-138.png\" alt=\"\" class=\"wp-image-16809\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-138.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-138-300x164.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Despite the weakness of the dollar, oil prices are falling<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"287\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-139.png\" alt=\"\" class=\"wp-image-16810\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-139.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-139-300x172.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Stocks have soared in line with global liquidity.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"289\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-140.png\" alt=\"\" class=\"wp-image-16811\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-140.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-140-300x173.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">And, while over the past couple of months real yields have been falling as P\/Es have been rising, they remain dramatically disconnected.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"302\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-141.png\" alt=\"\" class=\"wp-image-16812\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-141.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-141-300x181.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This level of forward valuation of the S&amp;P 500 implies a negative real return.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"500\" height=\"289\" src=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-142.png\" alt=\"\" class=\"wp-image-16813\" srcset=\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-142.png 500w, https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2023\/12\/image-142-300x173.png 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">&#8220;Smart money&#8221; looks for assets that offer a &#8220;Safe-Haven&#8221; for large funds.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Wall Street may be at all-time highs, but &#8220;behind the lines,&#8221; there&#8217;s a mass exodus from bonds, a frenzy for gold, and a dollar&#8230;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5,961],"tags":[1053,3326,239,1049,5052,5051,3896],"class_list":["post-16792","post","type-post","status-publish","format-standard","hentry","category-economic","category-financial-economics","tag-bonds","tag-cryptocurrencies","tag-dollar","tag-investments","tag-market-analysis","tag-swiss-franc","tag-wall-street"],"_links":{"self":[{"href":"https:\/\/www.liberalglobe.com\/index.php?rest_route=\/wp\/v2\/posts\/16792","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.liberalglobe.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.liberalglobe.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.liberalglobe.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.liberalglobe.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=16792"}],"version-history":[{"count":1,"href":"https:\/\/www.liberalglobe.com\/index.php?rest_route=\/wp\/v2\/posts\/16792\/revisions"}],"predecessor-version":[{"id":16814,"href":"https:\/\/www.liberalglobe.com\/index.php?rest_route=\/wp\/v2\/posts\/16792\/revisions\/16814"}],"wp:attachment":[{"href":"https:\/\/www.liberalglobe.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=16792"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.liberalglobe.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=16792"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.liberalglobe.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=16792"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}