DEPLOY CASH AND REDUCE HEDGES, PEAK TARIFF UNCERTAINTY IS OVER BUT PEAK ECONOMIC UNCERTAINTY IS NOT
By Nigam Arora
To gain an edge, this is what you need to know today.
Deploy Cash And Reduce Hedges
Please see the Protection Band And What To Do Now section below. The change is triggered by the prospect of China tariffs being reduced to 10%.
Great Deal For China
Please click here for a chart of S&P 500 ETF (SPY) which represents the benchmark stock market index S&P 500 (SPX).
Note the following:
- The chart shows a big rally in the stock market in the early trade on the news of the China deal.
- The chart shows the stock market has broken through zone 2, which was previously a resistance zone.
May 12, 2025