Weekend Reading #243

This is the two-hundred-and-forty-third weekly edition of our newsletter, Weekend Reading, sent out on Saturday 11th November 2023

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What we’re thinking. 

As we get into the obligatory Christmas rally territory, I am reminded that seasonality is something that many people swear by. And the evidence is compelling. But the thing about seasonality is it applies over a really large sample size. The question is will it apply this season? If one examines price action, there is a case to be made that some large cap tech is threatening a Christmas present for some but the rest of market doesn’t seem to agree. Neither does Jay Powell, with some strong words yesterday including to our great delight, using the F word when his speech got interrupted by some climate change or oil protestors (I can’t remember exactly which). It reminded me of last week when my 3 year old gleefully told my wife that I said it, before providing her with a full demonstration. I believe swearing has an important place in the world (just not from my own 3 year old!).

But seriously if you are looking for a proper rally, you have to cross over the dark side – crypto. There has been massive rally in the crypto markets this past week but still it seems no one other than crypto incumbents and some ETF hopefuls are paying too much attention. The rally continues to be led by Bitcoin, Solana and Chainlink although a late flurry from Ethereum ensued after Blackrock applied for an Ether ETF got the entire ecosystem going with Lido (the largest ETH staking platform) joining the party. As readers will know, we think crypto bottomed due to the sheer fact that everyone who arrived over the past few years sold and left, leaving only real believers to capture the upside. From here over the weeks ahead who knows, but momentum is sure in its favour.

What we’re doing. 

Crouch End is an area of Northeast London perhaps best known for its artsy cultural scene, although it’s not somewhere we’d usually frequent thanks to the lack of a tube station (closest one looks like Finsbury Park). So, when a flyer came through the post advertising a pop-up dinner, featuring an autumn-inspired menu by a Neapolitan chef with experience cooking in Michelin-starred establishments and even Buckingham Palace, we thought it wouldn’t hurt to have a try. Was it worth the trip all the way there? Not entirely sure. The food wasn’t bad per se, but we’d struggle to call it “breathtaking”. Perhaps our expectations were too high, or perhaps our standards just become higher over time, but it’s been a long time since we’ve been impressed by a meal we’ve had in a restaurant. Trying to think back to the last meal that wasn’t home cooked that was really outstanding… it’s probably this one. EL

What we’re reading.

Indonesia is a country we visit often and have deep links to and it didn’t escape our attention that as the 4th largest population on earth and in our esteemed opinion, a genuine emerging market, there was no second “I” in BRICS. So why then was Indonesia not included? Additionally, the balanced coverage of the Israel/Hamas war in Indonesia (away from the obligatory public castigating of Israel) led us to believe that Indonesia has other ambitions. So, when I read this story earlier this week it all began to make much more sense. Indonesia is applying to join not BRICS but OECD.  A real turnup for the books. Indonesia is graduating to be a proper country. No country or president for that matter has managed to balance the Chinese and the Americans as masterfully as the Indonesians. With elections coming up shortly, we hope for further solid steps in the right direction.

After all my reading about space and satellites as well as all the sci-fi reading in recent years, this photograph showing the tracks of satellites in the night sky really fascinated me. As Ben Hunt put it: “It’s beautiful and it sucks”. DC

What we’re listening to.

This is a fantastic podcast episode of the Founders podcast. It is the story of Larry Gagosian of the eponymous gallery. I didn’t know too much about him but wow this guy is just pure hustle even today at 78. Everything is about selling. And boy can he sell. This is a complete education of how he built his personal brand which is completely interchangeable with his business. There are some cheeky stories in here, especially the one where he sold an artwork twice within a few days for millions in markup through his deep understanding of what makes super-wealthy people tick. He believes that the ultra-rich are just as insecure as everybody else, if not more so. They just have the resources to do something about it to make themselves feel better. And when they do feel compelled to act, he pounces.

Courtesy of a recommendation from a reader of this newsletter, I was introduced to the extraordinary music of a Welsh performer named Ren. And very deep down this rabbit hole did I go. I don’t quite know how to describe it other than musical performance art. It’s a combination of rap and melody, a combination which if when done well I am a sucker for. So who is he? He is a Welsh musician who is both physically and mentally unwell. And listening to the music (or better yet watching the music videos) you can see that quite quickly. Hence his new album which went to number 1 in the UK is appropriately named “Sick Boi”. His single, “Hi Ren” tells you all about him and his style of music. Its unusual to say the least. He also does a great version of The Verve’s “Bittersweet Symphony” on the streets of Hoxton and a very cheeky revision of “Fatboy Slim’s Right Here, Right Now”. But just watch the videos yourself on Youtube. Phenomenal as apparently the rest of the UK also thinks. He has been compared to Eminem but its not. It’s far more... serious. Needless to say, it is not for children. DC