With China closed for the Mid Autumn Festival holiday, the noise traders are all over Evergrande Contagion as their new narrative, when in fact the bigger short term risk is the gamma positions among market makers in the US post last week’s option expiry.

We have been talking about Private Equity since the early days of this blog, but more recently here and here, where we asked an update to the famous Fred Schwed question “Where are all the (Private Equity) Customers’ Private jets?

Hot on the heels of our new Thematic slot at CitiWire, we were asked to do one of our semi regular pieces this weekend for the highly regarded Australian publication AFR.

It looks like the ‘don’t trust the dollar’ crowd have switched from Crypto to Gold, which is going up as the others go down., but there are other forces at play.

Equity Markets recovered at the end of last week in what looked like a classic ‘buy the dips’ bounce as medium and long term investors moved in to take advantage of some deleveraging and forced selling by the short term traders and market makers.