Bessent’s Gambit
Markets have succumbed to a precariously dysfunctional phase. There’s no turning back. For too long it has paid to ignore risk, buy every pullback, and lever up for big returns. Broken markets have proven incapable of orderly adjustment/correction. At this point, risk management is for suckers. Hedging only hurts performance. And from a macro perspective, derivative hedges and short positions create highly flammable fuel for squeezes, panic buying, and FOMO speculation.
