Dispatches 11-14.25

 

... The time had come, as in all periods of speculation, when men sought not to be persuaded of the reality of things but to find excuses for escaping into the new world of fantasy.
 – from The Great Crash, John Kenneth Galbraith

⦁ NOV 14 2025 REUTERS - "The rest of the world was weak because they were following the lead of the U.S market on Thursday," said Andrew Slimmon, senior portfolio manager at Morgan Stanley Investment Management but he noted that Wall Street was supported by "a bid in stocks that have led the decline in the last few days." ⦁ “There are so many cross currents out there in the market that it can be hard to determine which way things are headed Is the U.S. economy strong or weak? The answer is, both. Is inflation heading higher or lower? Are valuations high or low?" said Viktor Shvets, head of global desk strategy at Macquarie Capital. ⦁ On Wall Street the Dow Jones Industrial Average (.DJI), opens new tab fell 309.74 points, or 0.65%, to 47,147.48, but showed a 0.3% gain for the week. The S&P 500 (.SPX), opens new tab fell 3.38 points, or 0.05%, to 6,734.11 for a 0.1% weekly gain and the Nasdaq Composite (.IXIC), opens new tab rose 30.23 points, or 0.13%, to 22,900.59, leaving it with a roughly 0.5% loss for the week. ⦁ OHSUNG KWON, CHIEF EQUITY STRATEGIST, WELLS FARGO, NEW YORK: ⦁ “We are bullish. Sentiment has gotten too negative, in our view, triggering a contrarian Buy signal in our sentiment indicator. Historically after Buy signals, the S&P 500 rallied 7.5% over the subsequent three months, being positive 90% of the time. ⦁ "There is froth and valuations are high, but valuation is only half the equation. The other half of EPS growth. As long as EPS continues to grow stronger than it historically has (we’re forecasting +10% in 2026-27E), equities should continue to do well. We don’t think it’s a bubble." ⦁ BRIAN MULBERRY:"It is a good thing to see more broadening in the market as it has been so concentrated on the AI trade for the past year. Investors are beginning to ask questions around the lofty CAPEX spending, mainly wanting to see how and when this spending will come back to the balance sheet and will it be profitable. This is the main driver of the selling pressure, the concentration of returns built up by the Mag 7 names adds to the drawdown simply because of their weightings now in the S&P 500." ⦁ Nov 14 (Reuters) - Berkshire Hathaway (BRKa.N), opens new tab revealed a $4.3 billion stake in Google parent Alphabet (GOOGL.O), opens new tab and further reduced its stake in Apple (AAPL.O), opens new tab, detailing its equity portfolio for the last time before Warren Buffett ends his 60-year run as chief executive officer.

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