According to The Kobeissi Letter, the Nasdaq 100 has dropped over -2% as volatility returns to the market, sparking a significant rise in gold prices by $100/oz. Concurrently, the US Dollar Index ($DXY) has dipped below 100 for the first time since September 2024, creating potential for gold to surge well above $3,500/oz if equities continue to decline.

According to The Kobeissi Letter, US household equity wealth is projected to fall by $3 trillion this quarter, marking the largest decline since the 2022 bear market. This downturn contrasts sharply with the $9 trillion increase in equity holdings in 2024, which peaked at $56 trillion. This significant drop could impact investor sentiment and market dynamics, affecting trading strategies and portfolio adjustments.