ProCap Financial ($BRR) is being added to the Russell 2000 and Russell 3000 indexes at the market open on Monday. Being added to an index means there will be some non-discretionary buying as anyone running an index fund or a closet index fund benchmarked to the Russell indexes will have to buy a small amount … Read more
Forward: Most DKI interns arrive with a clear understanding of macroeconomics and a justified suspicion of the failing fiat system. Even in that exceptional group, Alex Petrou stood apart. He was an early Bitcoiner and his pointed, polite, and reasonable questions of officials from the Bank of England have left them uncomfortable and unable to … Read more
As expected, the Federal Reserve raised the overnight rate by 25bp (.25%). I think this was both the right move and irrelevant. Others disagree. – The Fed cited high inflation, high spending, high employment, and solid economic growth. – The dot plot shows 2 Governors who expect to keep the current fed funds rate through … Read more
ProCap Financial ($BRR) sold about 50 Bitcoin and bought back 2.2% of its shares outstanding at a discount to NAV. Since DKI established a position last month, the company has repurchased more than 4% of its shares outstanding which helped narrow the discount to NAV from 33% at the time of our initial purchase to … Read more
I’m in San Salvador for a few days followed by a longer trip to Montevideo, Uruguay. After that, I’ll have a week in Buenos Aires, a week in Florence, and will spend November in Japan. I’m open to a small number of in-person conversations. If you’re based locally, or know someone in those locations you … Read more
CPI of 3.4% was in line with expectations and consistent with last month’s 3.4%. The monthly change was 0.4% driven by fuel and shelter. The monthly increase annualizes to 4.9%. Core CPI of 2.4% was also in line with estimates and slightly below last month’s 2.5%. The monthly change of 0.3% was above estimates … Read more
Introduction: Decades ago, I took a finance class at the University of Michigan and vividly remember when the professor told us that the proper measure of risk is volatility. While I didn’t have the knowledge at the time to challenge the professor, I instinctively and immediately thought that this was incorrect. The only circumstance where … Read more
On August, 24, I told you I shorted Intel November $80 puts for $7.30. I just covered that short position at $2.80. The position returned 161% in two weeks. Intel is up more than 10% today on news it has produced more wafers using an advanced EUV process than the rest of the industry combined … Read more
I’ll be in Suchitoto, El Salvador for the next week followed by a few days in San Salvador and a longer trip to Montevideo, Uruguay. I’m open to a small number of in-person conversations. If you’re based locally, or know someone here you think it would be worthwhile for me to meet, feel free to … Read more
