Amazon just inadvertently pole-axed all media companies, all consumer staples companies, and all grocery chains, offset by a short-covering rally in Amazon ahead of the Whole Foods merger closing on Monday. In other words, on the same day we learn that jobless consumer comfort is at multi-decade highs, their dunce narrative is imploding in real-time...
Today's generation of industry-captured con artists has conflated demand displacement with productivity improvement. Deflation resulting from productivity improvement comes in the form of "Hey look computers are 10% cheaper this month". Deflation resulting from mass outsourcing and automation at 0% comes in the form of "Hey look there's no more economy". All a function of a lazy society living off the remains of a reserve currency while placing higher value on selling than making. Bullshit being the new "value add". Today's multinational corporations are merely middle-men that buy in one market and sell in another until they realize there's no one left who will pay $1100 for iPhone 28.
But don't take my word for it:
"WPP's report of a stunning slowdown in ad spending by consumer product companies hit other advertisers and sent a chill across the stocks of traditional media companies."
"WPP is really speaking to global ad spend. You think about global ad spend as a function of global GDP growth"
But don't take my word for it:
"WPP's report of a stunning slowdown in ad spending by consumer product companies hit other advertisers and sent a chill across the stocks of traditional media companies."
"WPP is really speaking to global ad spend. You think about global ad spend as a function of global GDP growth"
"The world's largest advertising company lowered its full year forecast for net sales growth to 1 percent or even less, blaming the pull back on lowered spending by packaged goods companies."
Bueller?
"Grocery stocks immediately tumbled Thursday afternoon on the news. Shares of Kroger, Costco, Sprouts Farmers and Supervalu were all seen trading at session lows."
"Amazon is taking over the 'Conomy"
Meanwhile in other news:
One year ago this month VXX reverse split the prior time, which was the cycle low for volatility. This year, volatility bottomed a month ago...
The speculative appetite ratio reached an all time high in this cycle and is now crashing:
"Volatility is a one-way bet"
Indeed
