Jul. 10 at 7:21 PM
$SES Sometimes I genuinely wonder whether people read the news, track the macro environment and put two and two together.
You are trading US microcaps, so of course US politics, inflation, interest rates and geopolitical risk affect them. Trump’s second year, the midterm cycle and the conflict with Iran have all pushed institutions away from speculative assets. When uncertainty rises, capital rotates out of microcaps, crypto and high-beta tech and into oil, gold, defensive stocks and broad-market ETFs. It is cold capital rotation, not always a company-specific collapse.
Iran also matters because higher energy prices can feed into CPI, keep rates higher for longer and make institutions even less willing to hold risky assets. Markets are also cautious about Warsh because investors still do not fully know how he will behave as Fed Chair.
