Chart for future history books pic.twitter.com/uHb3DSTgRX
— Michael A. Arouet (@MichaelAArouet) March 8, 2024
In the intricate dance of financial markets, certain patterns emerge as echoes of the past, and the current landscape seems to be no exception. The prevailing narrative of economic optimism faces scrutiny as key indicators suggest a departure from the rosy outlook.
The phrase “This time it’s different” often accompanies periods of exuberance, but historical wisdom reminds us that bubbles share a common trait – they burst. The economic stalwarts, including giants like $AAPL and $TSLA, grappling with stagnating or contracting revenues, challenge the notion of an invincible market.
The once-Magnificent 7, now possibly dwindling to a Magnificent 5, underscores the shifting tides. Even the seemingly unassailable Home Depot ($HD) experiences a 2% revenue decline over the last year, marking the longest stretch of negative growth since the tumultuous days of 2009.
Consumer struggles loom large, symbolized by the challenges of affording rent, let alone embarking on home improvement ventures. Home Depot’s downturn reflects a broader economic reality, raising concerns about the sustainability of consumption.
Examining the semiconductor sector, a harbinger of market trends, reveals a concerning parallel with the tech bubble of March 2000. As semiconductors outpace the SP500, the question arises: Can earnings continue their ascent amid rising unemployment and a potential slowdown in consumption?
As we navigate the intricate landscape of finance, historical echoes serve as a cautionary tale, urging us to be vigilant amid signs that history might be preparing to repeat itself.
With $AAPL and $TSLA revenues stagnating / contracting should we still call it Magnificent 7 or switch to Magnificent 5? pic.twitter.com/nCNIYAUNGC
— Michael A. Arouet (@MichaelAArouet) March 8, 2024
Home Depot, $HD, revenues fell 2% over the last year, the 4th straight quarter of negative YoY growth, per Charlie Bilello.
That's the longest stretch of negative revenue growth since 2009
— unusual_whales (@unusual_whales) March 8, 2024
Probably nothing pic.twitter.com/5oDWdyAxR8
— Michael A. Arouet (@MichaelAArouet) March 8, 2024
Wall Street all time high
ASX all time high
Bitcoin all time high
Gold all time high
Property prices all time high
Bank sector showing fractures emergingCan anyone else pick what happens when world markets are rallying at All-Time Highs 🤔?
— Mickamious (@MickamiousG) March 7, 2024
If UR is moving to 4.5% and the consumption will slow due to rising unemployment, does the earnings rise as anticipated? 👀
— The Macro Guy (@SagarSinghSetia) March 8, 2024
Layoffs surge to alarming levels in February
citizenwatchreport.com/layoffs-surge-to-alarming-levels-in-february/