The age of abundance has given way to an age of scarcity, while the pro-cyclical version of inflation may have given way to the counter-cyclical version.
Supply chain issues are worsening, increasing the risk to sales, production, and inflation. European stocks may offer an opportunity to avoid these risks.
Although earnings season has a ways to go, the results have been strong enough to significantly boost growth expectations, while also easing some valuation concerns.
As quickly as it soared to the moon, GameStop came back down to earth; but the lessons learned are key to turning day trading speculators into longer-term investors.
December brought the first payrolls decline since last April; with leisure/hospitality—and women—bearing the brunt of the weakness. Expect more economic “scarring” to come.
