Late Cycle Industrials Shine as Energy Lags

Opening Briefing

Unfiltered Market Commentary

Everyone’s shrugging off the Digital euro rollout as a mere payments upgrade, but that misses a real damn overreach risk. The RTE piece “Digital euro: benefits and pitfalls of tapping ECB cash” flags how giving the ECB account-zero power is a state-control play and markets barely flinched.

Combine the Yahoo story “Union Pacific (UNP): Assessing Valuation After Recent 4% Share Price Rebound” with “How Occidental Shares Stack Up After 13% Drop Amid Oil Market Turbulence” and you see a market split between industrial resilience and energy fragility. Yet investors act like regulatory threats from Brussels don’t exist—don’t buy that.

Here’s the takeaway: lean into late-cycle industrials that can ride solid freight volumes and skip the energy names until oil balance sheets clear this volatility—and legislative risk—out. Position smart, stay skeptical, and don’t let shiny stories blind you to the regulatory hammer.