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Celeritas Capital's avatar

If Q3 economic data continues to disappoint but isn’t horrible and you had to short SR3Z2025 at what level would you start shorting? Also thank you for the post!

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The Village Fund's avatar

If markets would price a ~70-80% probability of a third cut in December in the next 2-3 weeks, I think the risk/reward of fading the third cut would be favorable. That doesn’t mean I don’t think three cuts cannot materialize in 2025. It only means the r/r of betting on three cuts would probably not be favorable anymore.

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Celeritas Capital's avatar

Awesome thank you for sharing your view!

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