Joe Blows While Recession Fears Grow

Fox anchor Maria Bartiromo says “we might already be in a recession” & that fear is echoed in WSJ’s “Recession Trade Is On as Market Pain Spreads Beyond Tech” to roil US retailers. Joe’s enabling “plan” to the rescue?

As the newspaper noted: “Consumer-staples companies, which had been relatively shielded from the [now months-long & accelerating market] turmoil, have taken a hit.” As a result, “stock investors are positioning for a recession.” And, how could they not? That is, as Walmart, Kroger, Coca-Cola & Kraft Heinz have seen their “market values” go on “sale” after having “dropped 8.9% over the past four sessions.” But, it’s not just the recent market chaos as much as its LENGTH. We are now witnessing the fifth month of investor pain … “characterized by sharp intraday swings not seen since March 2020.” Btw, you don’t want to look at your 401k account right now.

Deutsche Bank’s Binky Chadha seemed to echo Bartiromo as well as other major banks’ increasingly sauerkraut economy take: “The selloff is well into recessionary territory,” since the S&P 500 is edging closer to the “typical decline of about 24% seen in recessions dating back to 1946.” Where is President Biden, i.e., when he’s not listening to his political advisors to crow louder about his ”economic accomplishments”? Even the dummy cards must be quivering in these growing fears …

Davd Soul