DO OR DIE FOR STOCKS

The IWM is down 5% for August and the bears are really feeling themselves now, asserting their opinions in an oppressive way unto the poor bulls. You see the blood streaming almost everywhere and you can sense this is a moment that will either demoralize the bears for the balance of 2023 or perhaps turn the tide against the bulls and bury them where they stand.

Markets pulled back 1-1.2% today. This is a garden varietal pullback — but one which has been persistent for all of August. I managed to limit my losses to 45bps, suffering greater losses in longer term accounts. I closed hedged and in larger capped stocks — afraid to take on too much risk because of the 9%+ hole I dug for myself in the month.

Tomorrow I depart for Richmond and then the following day towards BUSCH FUCKING GARDENS to not enjoy my time and to not like any of the rides there. I view rides as a god damned stupid waste of time; but do not tell Mrs. Fly that because she loves them and thinks they’re ‘super awesome and amazing.’

BOTTOM LINE: Fear tactics aside, this market is being directed entirely by the treasury yields. Should they come in tomorrow — then stocks will rally and vice versa. There is a palpable fear that inflation is going to be renewed and that money will become even tighter — laying waste to anyone without millions in cash ready to spend.