Posted on 05/19/2022 5:32:57 AM PDT by lasereye
Horror has returned to Wall Street trading desks and the portfolios of the average investor.
"Wednesday's sell-off really seems like a chain reaction, with the weakness in retailers feeding into fears that the consumer may be slowing, that inflation remains a problem, that inventories are too high, and this could pressure profit margins," Truist co-chief investment officer Keith Lerner told Yahoo Finance. "When you have such household names moving down so much, this spooked the broader market."
Lerner has been warning of a downturn in markets for months, downgrading his view on stocks back in April. The call looks prescient.
Here's what pros are telling us about the renewed market pressure:
The big question among market participants is whether the bearish activity in the markets the past two days represents capitulation. Such a happening in the markets is when all of the selling activity is exhausted as speculators are forced out of the fray. In turn, that brings out fresh buyers that are looking for attractive values.
The general vibe on the Street is that more selling is on the way in the near-term.
"No, not yet I’m afraid," Interactive Brokers strategist Steve Sosnick told Yahoo Finance on whether we have capitulation. "We got a 10:1 down/up volume day, but neither 10:1 advance/declines nor a VIX in the high 30’s. On top of it, our customers have been resolute net buyers of their favorite stocks. Until/unless I see that change, we haven’t seen capitulation.
(Excerpt) Read more at finance.yahoo.com ...
No no . Not that character.
On “World Wide Exchange” with Brian Sullivan.
Here’s the clip:
Craig Johnson says there’s another 10% before we find a tradeable bottom
https://www.cnbc.com/video/2022/05/19/craig-johnson-theres-another-10percent-before-we-find-a-tradeable-bottom.html
I didn't know they give handouts to dead people.
So, for a regular 2,000 hour per year job earnings at say McDonalds you paid what amounts to the minimum wage of $7.50 in Union Dues.
You paid as much for teamsters union dues as some do for a minimum wage job.
I know, I know......... few if any work for the minimum wage at present
By being a teamster you have afflicted America with Biden
It’s been rough the last 17 months? Well we’ve got two+ more years idiot Biden can use to make MORE horrible mistakes.
Apart from bankruptcy.
DOW headed for 30k.....
“Please remember.......
If you don’t sell, you don’t lose.”
The real question is how long will it take for any substantial recovery. 18 months to 24 months. Or longer. I do have substantial losses as I invested a big chunk of money after November 2021. so hopefully it was in companies that produce something and typically have good earnings. So I’m hopeful that I will see a recovery because I don’t need to sell for 24 months or more.
But I am very concerned about the value of the dollar and where we will be at the end of 24 months.
If there is a big sale down on Wall Street what are your top five choices to buy and hold for the next 48 months.
Mine are!
1. Google
2. Boeing
3. Walmart
4. JP Morgan
5. Berkshire B shares
Bookmark
I think I’d replace 4 & 5.
4. COKE (not KO. COKE is a bottling company out of Charlotte, NC)
5. Amazon
I’m always tempted to include Gilead, but they often disappoint me.
OK, I take your point and the need for cash can be required. However you noted companies. I think broader diversification and of a mutual fund.
However and I can’t emphasize enough, that an investment in say an S&P 500 Index fund from one of the leading funds, is in fact an investment in America. America will prosper in the long run.
Selling out America in panicked fear is selling out America
No, that’s 35 years of dues.
“No signs of peak inflation = tougher Federal Reserve on interest rates”
Seems to me if retailers such as Walmart and Target are missing their targets that means that sales/demand is coming down and wouldn’t that mean that prices would also have to start coming down? Especially if inventories are going up?
Isn’t that a sign that inflation may have already peaked?
The market seem to be weighing more the poor performance of these companies than the fact that those poor performance is an indication that inflation has peaked and that the higher interest rates are doing their job.
It’s going to take several crappy quarterly reports (and some pain and layoffs) for that reality to sink in, and then the fed will also notice that and it will start easing interest rates. That’s when the market will start turninv around. JMHO.
President Retard and his buddies directly and stupidly caused the inflation dumping trillions of free money into the economy and now the feds have to kill the economy in attempts to stop it 🤪
This is what happens when crap people are in charge
These threads always have the same platitudes and poor advice... sigh.
I don’t see any signs that inflation has peaked especially when you look at the enormous jump in terms of money supply and the outrageous spending by the government neither of which is going to be slowing down anytime soon.
Well wouldn’t that mean that retailers should be reporting record profits? Even Amazon had a bad quarter.
Also mortgage rates just doubled. That’s going to have a big impact on housing.
And the ridiculous price of gas is like a tax, which means people have less money to spend on other things.
The next couple of quarters will give us the answer.
Not necessarily, as they are being taxed by inflation just as well with rising costs and fuel costs.
Also mortgage rates just doubled. That’s going to have a big impact on housing.
It is going to have a negative effect on housing especially in the Summer months coming up when families usually move
And the ridiculous price of gas is like a tax, which means people have less money to spend on other things.
Many people got a cost of living adustment or raise. They are spending that money. There is also a lag before people change their behavior and adapt to the higher prices. Many people already have plans to travel and such. I believe we will see a staycation summer once again by many with such a "robust" economy as the Bidenites state.
The next couple of quarters will give us the answer.
It will be rough in my opinion.
Very good Arnold. Give that man a seegar! He wins!
Now, do you want to play double or nothing?
If so, can you tell us for TWO seegars and an eelectric car, what happens next?
ok
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