CapitMonet on Nostr: Oil near $100. Yields elevated. Geopolitical tension rising. And equities still ...

Oil near $100. Yields elevated. Geopolitical tension rising. And equities still refuse to break.

That’s the interesting part.

The market is effectively saying: conflict is temporary, liquidity still dominates, and AI capex matters more than macro pressure.

Meanwhile, corporate debt issuance is exploding to fund infrastructure expansion.

This cycle is becoming increasingly reflexive: debt finances growth narratives, growth narratives sustain valuations, and valuations justify more debt.

As long as earnings hold, the machine works. If energy, yields, and credit stress rise together, the regime changes very quickly.

For now, the market still believes the future will outgrow the cost of financing it.

#Markets