Energy Sector Outlook 2025: AI's Role and Market Dynamics 
Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed 
U.S. Stocks vs. Bonds: Are Diverging Valuations Signaling a Shift? 
Mexico's Undervalued Equity Market Offers Long-Term Investment Potential 
U.S. Treasury Yields Expected to Decline Amid Cooling Economic Pressures 
China's Refining Industry Faces Major Shakeup Amid Challenges 
Moldova Criticizes Russia Amid Transdniestria Energy Crisis 
Oil Prices Dip Slightly Amid Focus on Russian Sanctions and U.S. Inflation Data 
Global Markets React to Strong U.S. Jobs Data and Rising Yields 
Stock Futures Dip as Investors Await Key Payrolls Data 
AI Memory Boom Sparks Global Chip Supply Crunch 
Increased buy-in to the carry thesis. The vast majority of US investors is bullish emerging market assets; with most participating in EM carry plays. Of note, previous holdouts who were uber-bearish EM and who have attempted repeatedly to bet on EM blow-up scenarios have recently capitulated to the prevailing favourable carry story.
EM favourites currently include Mexico, Russia, Poland, and Indonesia. Most investors expressed a preference for high-yielding markets over low-yielding markets.
Investor participation was limited in Turkey and South Africa, with most investors either sidelined or underweight in sovereign hard and local currency debt.
Persistence of disinflationary / low-inflationary processes. Most investors believe that reflationary dynamics may continue to be pushed out further and further, extending the favourable environment for the yield-hunt and for emerging market out-performance.
Trade highlights:
Bonds: Long SAGB 2048s, FX-unhedged
FX: Short SGDINR
FX: Stay long USDRUB via 3m call spreads, buy strike 59, and sell call strike 62 knock-in 65.
