November interrupted the year’s steady advance, not with a decisive shift in fundamentals but with a bout of volatility that exposed the market’s growing sensitivity to policy expectations and valuation. Equities broadly stalled as investors balanced incomplete US data from the government shutdown, renewed uncertainty over the Federal Reserve’s December decision and a sharper debate over whether AI-driven capital expenditure can continue to justify elevated multiples. Defensive sectors reclaimed leadership while technology, for the first time since spring, showed signs of fatigue as concerns about an AI bubble resurfaced.

Stablecoins are digital tokens that aim to hold a fixed value. Most are backed by traditional currencies like the U.S. Dollar. Each token corresponds to an equivalent amount of assets, typically held in the form of cash or short-term government bonds. This simple mechanism allows them to function like digital cash with a built-in redemption promise.

History is unkind to those who mistake motion for progress. The violent equity drawdown in April, followed by an equally intense rebound in early May, has left investors torn between relief and suspicion. But market participants have been here before. From the Great Depression to the Global Financial Crisis, equity markets have a habit of luring investors back in with sharp recoveries, just before plunging to new lows. Still, not all rebounds are illusions. In 1982, 2009, and 2020, early rallies proved prescient, anticipating monetary or fiscal shifts that reignited growth.