Weekly Update #28: May. 6 2024

WHAT YOU NEED TO KNOW ABOUT MARKETS THIS WEEK

Macro:

Tide seems to be turning. We got a couple of big positive catalyst last week that point to fresh liquidity coming from the US:

• Jay Powell announced that, beginning in June, the Fed will lower the pace of its monthly Treasury security sales from $60 billion to $25 billion.
• Yellen (Treasury) plans to conduct weekly Liquidity Support buybacks of up to $2.5 billion Treasuries.

Financial conditions are starting to ease again and that is good for risk assets. The US Dollar Index and 10Yr rates are finally cratering from their recent advances. The top seems to be in for now.

Equities:

The model has signaled long S&P and Nasdaq Indexes.

The models preferred picks are Robinhood (HOOD), Nvidia (NVDA), Crowstrike (CROW), Palantir Technologies (PLTR), Snowflake (SNOW) and Microsoft (MSFT)

Digital Assets (aka crypto)

We are back. The model has signaled long Bitcoin, Ethereum and Solana. We'll keep an eye on Coinbase (COIN) and Galaxy (BRPHF) too for entry opportunities.

PORTFOLIO UPDATE:

We will open positions in the listed names during next week.

LINK OF THE WEEK:

This week, we'd like to share a short video from 2024 Berkshire Hathaway annual meeting

That’s it from us this week, thanks for reading!

DISCLAIMER: The No Rainy-Day Portfolio is not registered with any financial regulatory agencies. Content is for research, education, and entertainment purposes and should NOT be considered personalized financial advice.