REXSOLOM INVEST

There is obviously investor fatigue over the Iran war, and TACO Trump is trying to extricate himself from the mess. Markets, especially AI stocks, are roaring ahead regardless. This podcast is based on our free newsletter www.rexsolom.co.za/posts

Trump says the war is over, and markets are behaving like it is a non-event. Bonds are indicating otherwise. Rates probably on hold in the US, and maybe even back on the way up. interesting times that require close monitoring. 

Six weeks into the Trump-Iran war, markets are carrying on like it doesn't exist. Records are still being broken, and earnings are still being exceeded, not even the volatility is saying much. What could change that? If oil supply issues really bite? Japan has made an unusual move to export arms. 

Markets are moving more on hope than realistic expectations, as we have seen repeatedly during this war. The only salvation is to understand the time objective of the investment and asset allocation and behave accordingly. 

Markets and economies are hanging onto every bit of news and hope coming out of the Middle East - but the longer this goes on, the longer it will take to recover. Markets are giving us rare opportunities to buy into this late cycle, but you have to have a cool head and strong stomach. 

It's all a chaotic mess of changing geo-econo-political players right now. We are probably witnessing a change in the world order in real time, and everyone, including markets, can just watch and wait. 

This week, we start looking for potential off-ramps from this war and the market opportunities that might present in this time of peak 'fear' in stocks. Are we seeing the end of an era, not unlike the fall of the Roman and British empires? You can get all the week's news from our newsletters on www.rexsolom.co.za where you can sign up for free. 

Only days into this Iran war, and the economic foreshadowing is already rearing its head. Markets are slowing, but there's no panic - yet. The longer the Straits of Hormuz stay closed, though, the greater the impact, and the longer it'll take to recover. Oil has joined gold on the resource supercycle. 

It's never 'fun' to watch historical moments play out and see the stomach-churning effects on markets, but this also presents opportunities and a time to test our FOMO, perhaps?

As we record this, the Middle East is in serious turmoil, which could have a significant impact on global markets and economies. As a bit of a bright note, we give some of the highlights of the RSA budget. As always, more info in our free newsletter, sign up at www.rexsolom.co.za