More Euro Confetti as Bonds and Metals Bounce, but Equities Show Risk-Off Sector Rotation
Euro keeps turning into confetti as the dollar rises. Bonds and metals bounced after recent lows, yet equities showed clear risk-off sector rotation, with utilities and staples leading while tech and homebuilders lagged.
Source: Peak Prosperity
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DW NOTE
Consumer sentiment at 48.1 — half the "happy range" seen during Trump 1.0 — while the 10-year Treasury just hit 5.24% and the dollar keeps grinding higher. The euro isn't turning into confetti because of German policy mistakes; it's turning into confetti because markets are repricing geopolitical risk and the Fed's terminal rate while Europe prints its way through an energy crisis it still hasn't solved.