Thursday, November 6, 2025

The Morning Call--- Deutsch bank shorting AI stocks as hedge against debt.

 

The Morning Call

 

11/6/25

 

The Market

         

    Technical

 

            Wednesday in the charts.

            https://www.zerohedge.com/markets/stocks-gold-jump-bonds-dumped-bitcoin-bounces-bigly-bear-market-lows

 

                Wednesday in the technical stats.

            https://www.barchart.com/stocks/momentum

            https://www.barchart.com/stocks/sectors/rankings

            https://www.barchart.com/stocks/signals/new-recommendations

 

            Melt up or top?

            https://talkmarkets.com/content/us-markets/melt-up-or-top-market-indicators-and-2-confirmation-signals-to-watch?post=533991

 

            No panic, just pain.

            https://www.zerohedge.com/the-market-ear/fearless-sell-no-panic-just-pain

 

            The latest from Goldman.

            https://www.zerohedge.com/markets/billion-dollar-question-goldman-delta-one-boss-notes-retail-being-tested-key-levels-tested

 

            Bitcoin’s test.

            https://www.zerohedge.com/the-market-ear/bitcoins-50-week-test-bounce-or-breakdown

 

    Fundamental

 

       Headlines

 

              The Economy

 

                        US

 

The October services PMI was 54.8 versus forecasts of 55.2; the composite PMI was 54.6 versus 54.8.

https://www.advisorperspectives.com/dshort/updates/2025/11/05/sp-global-services-pmi-october-2025

 

The October ISM services index was 52.4 versus projections of 50.8.

https://bonddad.blogspot.com/2025/11/ism-services-index-rebounds-indicating.html

 

                        International

 

September Japanese YoY average earnings rose 1.9% versus estimates of +1.6%; the October services PMI was 53.1 versus 52.4; the October composite PMI was 51.5 versus 50.9.

 

September German industrial production was up 1.3% versus predictions of up 2.5%.

 

September EU retail sales fell 0.1% versus consensus of +0.2%.

 

The October EU construction PMI came in at 44.0 versus expectations of 46.5; the October German construction PMI was 42.8 versus 46.7; the October UK construction PMI was 44.1 versus 46.0.

 

                        Other

 

                          Q3 NY Fed report on household debt and delinquencies.

                          https://www.calculatedriskblog.com/2025/11/ny-fed-q3-report-household-debt.html

               

                Overnight News

 

US companies announced the most job cuts for any October in more than two   decades as artificial intelligence reshapes industries and cost-cutting accelerates. Companies last month announced 153,074 job cuts, nearly triple the number during the same month last year.

 

8 centrist Democrats in the Senate could be prepared to vote in favor of reopening the government, but they are receiving pushback from more progressive corners of the party.

 

The US Supreme Court appeared skeptical of Donald Trump’s sweeping tariff powers, with some justices suggesting he’d overstepped his authority. Yet even if the duties are struck down, the president has other legal options, leaving companies and countries in limbo.

           

                       

            Monetary Policy

 

              In the weeds of how one aspect of Fed monetary management works.

              https://wolfstreet.com/2025/11/04/government-shutdown-adds-to-repo-market-liquidity-pressures-but-the-feds-srf-did-its-job-and-now-went-back-to-sleep/

 

              Bank of England leaves rates unchanged.

              https://www.zerohedge.com/markets/deeply-divided-bank-england-leaves-rates-unchanged-warns-ai-bubble

 

            Fiscal Policy

 

              Tax increases won’t shrink the deficit/debt.

              https://www.realclearmarkets.com/articles/2025/11/05/contra_brookings_tax_increases_wont_shrink_the_debt_1145287.html

 

            The Financial System

 

              Deutsch bank shorting AI stocks as hedge against debt.

              https://www.zerohedge.com/markets/big-short-20-deutsche-bank-reportedly-starts-shorting-ai-stocks-hedge-data-center-risks

 

            Tariffs

 

              Striking down the tariff won’t hurt anybody.

              https://www.cato.org/commentary/striking-down-tariffs-wont-hurt-anybody

 

            Geopolitics

 

              One man’s warning.

              https://www.zerohedge.com/geopolitical/escobar-taming-sound-and-fury-empire-chaos

 

     Investing

 

            Rebalancing your portfolio in a lofty market.

            https://www.morningstar.com/portfolios/how-rebalance-your-portfolio-lofty-market

 

            Despite high valuations, the bubble risk appears low (at this time).

            https://www.capitalspectator.com/is-bubble-risk-elevated/

 

            November dividends by the numbers.

            https://politicalcalculations.blogspot.com/2025/11/dividends-by-numbers-in-november-2025.html

 

            Long term holders selling bitcoin.

            https://www.bloomberg.com/news/articles/2025-11-05/crypto-hit-by-bitcoin-whales-dumping-45-billion-in-market-bets?sref=loFkkPMQ

 

            Every cycle ends with sellers who said that they would never sell.

            https://www.zerohedge.com/markets/when-debt-meets-diamond-hands

 

    News on Stocks in Our Portfolios

 

What I am reading today

 

            It takes a global supply chain.

            https://thedispatch.com/article/sharpie-pencil-manufacturing-onshoring-free-markets/

 

 

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