Pro Macro: Flash Update – April 6, 2022

Published on: April 6th, 2022

If the Fed is really as determined to tighten financial conditions as they say, come what may, this is toxic for stocks. Add a short SPX against existing equity longs and pull up stops on the recent LatAm additions.

Comments

  • rm
    roland m.
    6 April 2022 @ 19:51
    2 0
    Is there any ETF that would allow to do that?
    • WM
      William M.
      6 April 2022 @ 20:34
      2 0
      Look at the ProShares S&P Inverse ETF or Direxion S&P 500 Bear Fund are just 2 examples. Look on the net at the details.
    • rm
      roland m.
      6 April 2022 @ 19:52
      0 0
      to short the S&P I mean..
  • WM
    William M.
    6 April 2022 @ 20:28
    1 0
    My question...... can someone advise why Julian is shorting the S&P versus the NDX. Looks as if it could fall further faster...???
    • LS
      Luca S.
      7 April 2022 @ 14:30
      2 0
      I suppose that's because he wants to hedge against broad market risk, instead of going even heavier on the "long commodities and select EM \ short tech and long duration" idea. If something weird were to happen that caused the great rotation to stop and reverse, shorting the Nasdaq would not work as a hedge for XME and LatAm etfs, it would probably compound losses even more. That looks like an unlikely outcome at present, still not worth taking the risk (if my reasoning is correct, and I'm just thinking out loud here, not saying that this is necessarily the right answer to your question)
  • JM
    John M.
    7 April 2022 @ 16:29
    1 0
    Why not shorting ITB now?
    • HM
      Harry M. | Real Vision
      14 April 2022 @ 02:04
      1 0
      Just a bit low. JB hates shorting things which have already acted. Reduces chances of success.