Deepak Mehra

Speaker stated U.S. equities have been a relative safe haven compared to European and emerging market equities, and that "U.S. dollar Treasuries and equities will benefit" if the war continues. Ongoing geopolitical stress and the U.S.'s relative energy independence and economic resilience will attract equity flows away from more vulnerable regions. Long U.S. equities as a defensive equity allocation within a risk-off environment, anticipating relative outperformance. A severe U.S. economic slowdown triggered by the energy shock could outweigh safe haven benefits and hit corporate earnings.

"Money going into traditional safe-spirit... 10 year yields below 4%... Dollar up 1.4%." Capital hates uncertainty. With explosions audible in major financial hubs (Dubai) and markets closed, global liquidity will aggressively rotate into the "Safety Trinity": Gold, US Dollars, and US Treasuries. LONG. This is a classic "fear trade" setup. If the conflict is contained quickly, risk-on sentiment returns, causing a sell-off in bonds and the dollar.

"Money going into traditional safe-spirit... 10 year yields below 4%... Dollar up 1.4%." Capital hates uncertainty. With explosions audible in major financial hubs (Dubai) and markets closed, global liquidity will aggressively rotate into the "Safety Trinity": Gold, US Dollars, and US Treasuries. LONG. This is a classic "fear trade" setup. If the conflict is contained quickly, risk-on sentiment returns, causing a sell-off in bonds and the dollar.

AI users such as Netflix, Amazon, and Google are the biggest beneficiaries in the early stages because the value stack grows out to the platforms and applications, not just the chip makers.

Microsoft and Salesforce have been sold off on fears of disruption from commoditized AI services, but this may create value as the market overestimates the impact. There is potential upside in these names.

AI users such as Netflix, Amazon, and Google are the biggest beneficiaries in the early stages because the value stack grows out to the platforms and applications, not just the chip makers.

Microsoft and Salesforce have been sold off on fears of disruption from commoditized AI services, but this may create value as the market overestimates the impact. There is potential upside in these names.

AI users such as Netflix, Amazon, and Google are the biggest beneficiaries in the early stages because the value stack grows out to the platforms and applications, not just the chip makers.

"Money going into traditional safe-spirit... 10 year yields below 4%... Dollar up 1.4%." Capital hates uncertainty. With explosions audible in major financial hubs (Dubai) and markets closed, global liquidity will aggressively rotate into the "Safety Trinity": Gold, US Dollars, and US Treasuries. LONG. This is a classic "fear trade" setup. If the conflict is contained quickly, risk-on sentiment returns, causing a sell-off in bonds and the dollar.

"If this conflict prolongs, we will have a re-acceleration of inflation in the U.S... Then that changes the dynamics for the rate cut narrative." The market was pricing in rate cuts. An oil shock is inflationary. If inflation respikes, the Fed cannot cut rates. Higher-for-longer rates compress valuations for growth and tech stocks. SHORT. The macro environment has shifted from "soft landing" to "stagflationary shock." The US economy proves resilient enough to absorb higher energy costs without stalling.

"If this conflict prolongs, we will have a re-acceleration of inflation in the U.S... Then that changes the dynamics for the rate cut narrative." The market was pricing in rate cuts. An oil shock is inflationary. If inflation respikes, the Fed cannot cut rates. Higher-for-longer rates compress valuations for growth and tech stocks. SHORT. The macro environment has shifted from "soft landing" to "stagflationary shock." The US economy proves resilient enough to absorb higher energy costs without stalling.