Insightful breakdown by Bryan Lutz. These three points highlight how interconnected today’s global financial environment has become. The ripple effects of Japan’s carry trade reversal, Target’s ongoing decline due to misaligned capital allocation, and Bitcoin’s volatility all show how important it is for investors to stay grounded in fundamentals rather than hype
The Japan section clearly explains why U.S. markets saw sudden sharp sell-offs when cheap yen borrowing flips, the unwind is brutal. Target’s situation reinforces that aggressive Cap Ex without strong free cash flow is dangerous, especially in a retail landscape shifting away from physical storefronts. And MicroStrategy’s case is a reminder that even large BTC holdings can’t shield a company from market sentiment and volatility.
Overall, these observations offer a balanced, realistic view of where markets stand today. Thanks for sharing such a sharp and thought-provoking analysis.