The Biggest Market Rotation In Years Has Already Started | Adrian Day
Speakers
Adrian Day
— President, Adrian Day Asset Management
Summary
Adrian Day shares bullish views on gold and gold mining stocks, citing extreme bearish sentiment, low valuations, and central bank buying. He warns that AI stocks are grossly overvalued and under pressure, and sees higher oil prices from Asian reserve build-up after the Iran conflict. Private credit remains a risky area.
- Adrian Day is bullish on gold mining stocks (GDX) due to low valuations and extreme bearish sentiment.
- He sees gold itself as supported by central bank diversification away from the dollar.
- He believes AI stocks like Nvidia, Microsoft, Amazon are overvalued and likely to decline further.
- He expects oil prices to rise as Asian countries build strategic reserves after the Iran crisis.
- He warns that private credit markets carry hidden risks because loans are self-marked and leveraged.
- He notes the Fed’s Kevin Walsh may bring a more market-aware approach, but economic data is mixed.
Ideas
Gold miners undervalued, extreme sentiment buy
Gold mining stocks are a strong buy. Prices are down 35% from January, valuations are in the lowest 20th percentile historically, and sentiment is extraordinarily weak (one day had zero bulls). This combination of low price, low valuation, and extreme bearish sentiment creates a perfect setup for a powerful move. He is buying more for new clients and not selling now.
Asian reserve builds lift oil prices
After the Iran conflict, Asian countries that were squeezed for oil will now prioritise building strategic oil reserves. This new structural demand will lead to higher oil prices over time.
AI stocks overvalued, under pressure, avoid
AI stocks are grossly overvalued. Many companies building huge data centres have no clear plan to monetise them, and the vast supply of projected data centres will outstrip available energy and raw materials. Leaders like Nvidia, Microsoft and Amazon have already dropped 15–20% while the broad market is flat, and this pressure is expected to continue.
Up Next
This The David Lin Report video, published July 11, 2026, features Adrian Day discussing GDX, WTI, NVDA, MSFT, AMZN. 3 trade ideas extracted by AI with direction and confidence scoring.