Bad Week Set to Get Worse Before Better: 3-Minutes MLIV

Watch on YouTube ↗  |  January 21, 2026 at 09:13  |  6:42  |  Bloomberg Markets
Speakers
Mark Cudmore — Executive Editor, Bloomberg Live / Macro Strategist
Tom Mackenzie — Anchor, Bloomberg

Summary

The video is a Bloomberg Opening Trade MLIV segment with Mark Cudmore discussing Greenland-related geopolitical uncertainty and its market implications. Cudmore warns the confrontation may worsen before a compromise, expecting market pain including further equity and bond selling and possibly dollar weakness. He also sees structurally higher long-term yields and warns gold could briefly collapse in extreme risk aversion before rebounding.

  • Mark Cudmore says the Greenland escalation is likely to get worse before it gets better.
  • He expects equity markets may need a 10-15-20% pullback to force a political compromise.
  • He sees further selling pressure in stocks and bond markets and possibly the dollar.
  • Over the longer term, he expects structurally higher yields and a slow bond bear market.
  • He says nothing fundamentally derails gold, but extreme risk aversion could cause a short-term precious-metals selloff before a rebound.
  • The segment also touches on JGB volatility, Davos, tariffs/trade tensions, and gold nearing 5000.
Ideas
Mark Cudmore Executive Editor, Bloomberg Live / Macro Strategist 2:13
Expect further equity selling before compromise
Cudmore expects the Greenland/trade confrontation to worsen before it improves because neither side has short-term political incentive to compromise. With US and global stock markets near record highs and complacent, he thinks a 10-15-20% equity pullback is needed to send a message to the US administration, and he expects further dramatic selling in stocks.
SPY VT HIGH
Mark Cudmore Executive Editor, Bloomberg Live / Macro Strategist 2:51
Selloff may hit bonds and dollar
As part of the market-pain path needed to force a political compromise, he expects the selloff to hit bond markets and possibly the dollar/fiat currencies, though the dollar call is less certain than the equity and bond selloff.
USD MED
Mark Cudmore Executive Editor, Bloomberg Live / Macro Strategist 3:56
Structural bond bear market, yields higher
Over the longer term, he believes the low yields of the past 15 years were anomalous and structurally yields are going higher as term premium returns to markets. He has less conviction on where yields go in 2025 and says the bond bear market may play out slowly over many years.
TLT MED
Mark Cudmore Executive Editor, Bloomberg Live / Macro Strategist 5:58
Gold may dip before aggressive rebound
Nothing fundamentally derails gold, but in extreme risk-aversion/deleveraging episodes like the GFC and pandemic, gold and precious metals can collapse in the short term before rebounding aggressively as governments respond with easy monetary policy.
GLD GLTR HIGH
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This Bloomberg Markets video, published January 21, 2026, features Mark Cudmore discussing SPY, VT, USD, TLT, GLD, GLTR. 4 trade ideas extracted by AI with direction and confidence scoring.

Speakers: Mark Cudmore  · Tickers: SPY, VT, USD, TLT, GLD, GLTR