Shocking stat of the day: US corporate net interest payments are down to just 0.4% of GDP, their lowest in at least 10 years. This percentage has declined -1.2 points since 2022, despite the Fed hiking rates from 0.25% to 5.50% between 2022 and 2023. This comes as many companies locked in ultra-low fixed rates during the pandemic, protecting their interest costs from the subsequent rise in rates. Over the same period, US government net interest costs have increased +1.2 percentage points to 3.6% of GDP, near their highest in at least 10 years. Unlike corporates, the US government did not lock in enough ultra-low rates in 2020, leaving it increasingly exposed to much higher interest costs as rates rose. The US government is taking the biggest hit from higher rates.

Shocking stat of the day: The Breakwave Tanker Shipping ETF, $BWET, is up +5,820% over the last 12 months. This ETF reflects futures linked to the cost of transporting crude oil from the Middle East and West Africa to China and other destinations, making it highly sensitive to disruptions in global oil shipping. In 2026 alone, $BWET is up +4,556%, leaving it the world’s best-performing ETF this year. The surge reflects skyrocketing tanker shipping costs amid disruptions to global oil transportation caused by the Iran War. We are seeing an unprecedented global energy shock.