Street Analysis

This ain’t no bull market.

To top it all off, there are two America’s, not one – one for the well-off’s and another one for the ordinary Joe’s.

In our previous post, we announced that we are in a crisis mode already tagging it as a Warning # 1.

Bear market is well entrenched for the small stocks for a couple years already. Now, it is the turn of the big cap stocks and the market darlings. Way overdue! Overall, it appears that we are in a prolonged bear market stretch. We better prepare ourselves well for that ugly beast.

See the two matrices below based on the data as of yesterday. The first one shows the top market capitalization (cap) stocks that are in a ‘correction’ territory, i.e. 10% from its 52-week high sorted by market cap starting with Nvidia, artificial intelligence (AI) leader and market darling. The second table shows the stocks that are down most from its 52-week high with the greater than $25 billion market cap sorted by the down percentages.

Top Market Cap Stocks in 10% Correction Territory (Sorted by Market Cap):
Company name	Ticker	Mktcap (in $mils)	Share Price ($)	Down%
NVIDIA Corporation	NVDA	4,456,220	183.18	14%
Apple Inc.	AAPL	3,669,011	247.65	14%
Microsoft Corporation	MSFT	3,301,070	444.11	20%
Amazon.com, Inc.	AMZN	2,468,896	231.30	11%
Broadcom Inc.	AVGO	1,555,882	328.80	21%
Meta Platforms, Inc.	META	1,542,820	612.96	23%
Tesla, Inc.	TSLA	1,392,257	431.44	14%
Berkshire Hathaway Inc.	BRK.A	1,041,370	724,079	11%
JPMorgan Chase & Co.	JPM	834,355	302.04	10%
Visa Inc.	V	625,809	325.28	13%
Oracle Corporation	ORCL	497,992	173.88	50%
Mastercard Incorporated	MA	476,396	527.57	12%
Palantir Technologies Inc.	PLTR	393,017	165.33	20%
Bank of America Corporation	BAC	388,755	52.07	10%
AbbVie Inc.	ABBV	382,369	216.15	12%
The Home Depot, Inc.	HD	381,948	384.64	10%
Netflix, Inc.	NFLX	362,315	85.36	36%
The Procter & Gamble Company	PG	342,087	146.06	19%
UnitedHealth Group Incorporated	UNH	315,062	347.75	43%
Wells Fargo & Company	WFC	274,051	86.12	12%
Major Stocks – Greater than $25 billion Market Cap (Sorted by Most Percent Down):
Company name	Ticker	Mktcap (in $mils)	Share Price ($)	Down%
Fiserv, Inc.	FISV	35,507	65.73	72%
Strategy Inc	MSTR	46,584	163.81	64%
Atlassian Corporation	TEAM	32,193	122.41	62%
Charter Communications, Inc.	CHTR	25,071	187.43	57%
CoreWeave, Inc.	CRWV	46,826	94.05	50%
Oracle Corporation	ORCL	497,992	173.88	50%
Roblox Corporation	RBLX	52,770	75.68	50%
Coinbase Global, Inc.	COIN	59,644	226.93	49%
ServiceNow, Inc.	NOW	130,080	125.30	48%
Thomson Reuters Corporation	TRI	54,023	120.11	45%
Federal Home Loan Mortgage Corporation	FMCC	27,457	8.49	43%
UnitedHealth Group Incorporated	UNH	315,062	347.75	43%
Flutter Entertainment plc	FLUT	31,868	181.07	42%
Federal National Mortgage Association	FNMA	53,976	9.20	42%
Coupang, Inc.	CPNG	36,898	20.24	41%
Salesforce, Inc.	CRM	210,058	221.58	40%
PayPal Holdings, Inc.	PYPL	53,096	55.89	39%
Datadog, Inc.	DDOG	43,044	123.46	39%
Brown & Brown, Inc.	BRO	25,841	78.07	38%
Zscaler, Inc.	ZS	33,093	208.66	38%

For sure, this does not sound like a beginning of the ‘new’ bull market, as many profess, for variety of reasons, rather it is amply evident that we are in a second or third inning of the bear market. Labeling it as a brutal bear market is not an exaggeration at all outside the world of certain favored stocks by a very narrow slice of the market participants.

Obvious culprit is high valuations using any rational measure such as CAPE (Cyclically Adjusted Price to Earnings) Ratio, The Buffett indicator, U.S. debt of $38 trillion, annual budget deficit at 6% of GDP with no plan to reduce and 10-year treasury with interest rate in excess of 4%.

Trade deficit, not the precarious budget deficit, is only the ‘noise’ over all these true ‘signals’ and a snake oil solution created by our ‘Tariff King’ (in his own words) is creating much more harm than the good aside from the AI beast that brings many unknowns. It is a ‘fantasy solution’ to the ‘non-existent problem’ when many pressing problems are simply brushed aside simply out of the sheer ignorance. Immigration issue is another ‘noise’ problem – 1% problem demanding 99% precious attention.

Correction in top stocks is ‘startling’ or ‘unhealthy’ to say the least when the major market benchmarks such as S&P 500, Dow Jones Industrial Average (DJIA) and NASDAQ are at or near 52-week high. Underneath the surface, like an iceberg, there is a ‘ton of damage’ already that is not visible at the tip of the iceberg. The same kind of unhealthy market situation for the small stocks has persisted for a couple years already now. Now, it is spreading and making it more pervasive or in other words, on its way to correct the course.

What this means is that the stock rotation is in the offing or well underway from different aspects such as sector, style or size – such as from technology to defensive, growth to value and from large cap to small cap.

Memory makers such as Micron ($MU) and Sandisk ($SNDK) making new 52-week high’s during this turbulence arising out of Greenland fiasco seems to affirm the quite-telling pattern that even when generals stop marching, the foot soldier keep on. They are ripe for the fall from grace.

Google ($GOOG) at $4 trillion market cap is in a shouting distance of Nvidia ($NVDA) at $4.5 trillion and it has been almost three months since Nvidia reached the $5 trillion cap in a true sense in October 2025 and having a hard time breaching it again. It will not be surprising if Google topples Nvidia and takes the crown away, not just temporarily, but even permanently.

The bottom line is that the market is firmly setting things up for the multi-year bear market and along with that the new winners and losers.

A few things to watch out for or continue watching with a keen eye:

1. Slightest sign of trouble in the AI gold-rush
2. Gold breaking $5,000 which it is eerily close to and continues to march higher
3. 10-year treasury rate not backing down below 4%; it consistently stays in around 4.2%
4. Potential bankruptcy of Strategy ($MSTR), formerly known as Micro Strategy, spelling trouble for the bitcoin land, aka digital assets. This may mean of death of bitcoin mega rush of well over a decade
5. Currency debasement trades. A good example is Denmark pension fund divesting all of its U.S. treasuries recently

The beauty in all these unfortunate ironies all around these days is that the financial markets is the only entity or mechanism that can keep the ‘unchecked power of our toddler king’ sitting at the most powerful seat in the world in the check that we normally like to refer as ‘evil’ when used in a heavier context. Humiliating defeat of the POTUS (President of the United States) by backtracking on tariffs after ‘Tariff Tantrum 2.0’ response by the financial markets two days ago for Greenland delusive fantasy at World Economic Forum (WEF) in Davos, Switzerland, is a perfect example.

The ‘Market Gods’ proved it quite solidly in April of 2025, which we can label it as ‘Tariff Tantrum 1.0’ and it was clearly ‘Tariff Tantrum 2.0’ on January 20 – only a ‘mini version’ was sufficient for the evil to back off! How powerful! Great going by the markets! Market is the only ‘beast’ that can keep the ‘other beast’ in its place.

At that time, the treasury yield and gold price spiked big and market retreated in a major way to trigger ‘TACO 2.0’ response, the acronym – ‘Trump Always Chickens Out’ given by the Wall Street traders to POTUS after the Liberation Day in April 2025

Three blunt weapons are super solid: 1) Bond Yields 2) Stock Market 3) Metal prices – Gold and Silver. It is an ultimate weapon that the market participants rather not use, though, are ready to use as such, if the need be. Rather, let the natural market forces take its own due course without any major disruption. Slow motion train wreck is far better than the fast-moving train wreck.

The reason? As U.S. gradually descends on its slow journey from ‘safe haven’ to ‘the source of uncertainty’ just like the emerging markets, it is bound to have such temper tantrums.

Bonus? George Orwellian style totalitarian regime described in a major dystopian novel ‘1984’ seems more reality than the fiction now when the ‘Big Brother’ is so active and ever-ready to control every aspect of our lives.

Hence, the ‘TACO’ trades are back and so is the talk of the dollar debasement back in vogue. Not really pleasant times, unfortunately. Certainly, it is time to take advantage of the market strength after the ‘Tariff Tantrum 2.0’ two days back by ‘TACO 2.0’ and a fitting response by the markets to an unhinged Greenland action for those who are able.

When most everyone with few exceptions in this country feels so ‘powerless and hopeless’ with the biggest fear of losing a ‘sacred temple of democracy’ and ruinously having it desecrated by the evil enabled by the “top goons and bootlicking sycophants of the presidential administration”, financial markets is really our only solace to save the democracy…only to the degree, though. A rest of the responsibility still primarily lies with the peoples of America, which is not a tiny responsibility, rather a big bulk of the total responsibility.

The “European bazooka” is also an ultimate weapon if set in motion by our European allies, which we are hellbent in making enemies by this evil administration, which is effectively an “Anti Coercion Instrument (ACI)”, a legal tool adopted in December 2023 to combat economic blackmail by foreign nations. It allows the European Union (EU) to impose retaliatory measures—such as tariffs, trade restrictions, or investment limits—against countries that pressure EU members, with 2026 discussions focusing on its use against U.S. tariffs.

All in all, finally and thankfully a nemesis is emerging to the “unchecked power” of our current presidential administration. This can help soften the blow or slow the death to “irrelevancy” of the U.S. imperialism that no one wants to see.

Financial market takes its sweet time to understand just as MAGA (Make America Great Again) camp is taking about the ‘true’ evil that America is facing. We all need to read and reread the novel ‘1984’ to better understand the real implications of such ignorance.

In a due time, market normally does understand the implications pretty well and rewards or punishes one accordingly. It is just that at the present times, the rewards and punishment appear to be in the reverse order, unfortunately.

As the Orwellian theory suggests, once we start believing that “War is Peace, Freedom is Slavery and Ignorance is Strength” then we know we are in a deep sh*t. The height of the hypocrisy is unfathomable in our leaders and even populace. As a result, what we see is not just reckless, rather criminal behaviors normalized. All owing to the following camps in the order of importance and impact: Spineless cowards and traitors, tribalists and ignorant.

A powerful faction is in small numbers and a large demographic piece is powerless on the surface, however, it can gain immense power if awakened and roar like a lion and make a big difference. We need to awaken the giant within.

Time to invoke 25^th amendment is here to replace the completely delusional, demented and unhinged otherwise megalomaniac incapacitated President. If the replacement of ‘Greenland’ with ‘Iceland’ multiple times, not just once or twice, in a critical speech at Davos is not enough to do so then what is? What a gaffe!

Similarly, if the comments by the most powerful man on this earth that market can ‘double’ this year is not a criminal offense then what is? Over the years, many folks have been sent to jail under the guise of insider trading or misleading comments. Such are or rather ‘were’ the laws of this country when it came to securities laws. Is freedom of speech applied only when it is convenient for the elites?

With this, the end of the U.S. imperialism is here as some can see instead of being in denial.