In this episode, 42 Macro analyzes the key macro question of whether markets are underestimating the risks of strategic U.S.–China decoupling. Their outlook remains anchored in Paradigm C, reinforced by Treasury Secretary Bessent's support for gradual deficit reduction through economic reflation rather than austerity. The episode outlines why short-term tariff tensions and political noise should be faded, and reaffirms a bullish portfolio tilt toward equities, gold, and Bitcoin. Quantitative signals remain constructive, while policy remains reflationary and risk-on. Key risks include geopolitical missteps and declining foreign demand for U.S. assets, yet resilient private sector balance sheets continue to support a structurally bullish market regime.
The Macro Minute with Darius Dale