Net Liquidity and Global M2 Update: US Net Liquidity (upper chart) after a local low in late-December 2023, US net liquidity is trying hard to break out of its sideways channel that it has been trapped in since April 2022. OPINION #1: Positive in the near-term for US small and mid-cap equities, which have recently experienced sizable drawdowns. Global M2 (approximate; lower chart) tried and failed to break through resistance of its 33-month channel and turned slightly lower. Still in the upper end of its 33-month range. OPINION #2: I expect worldwide risk-on assets to continue to chop sideways near local highs or drift lower in the near-term, until trends materially change. These may include: #bitcoin, #gold, FAANG+ stocks, and $QQQ, among others. (Not individual investment advice! For infotainment purposes only!)