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Bear Markets Everywhere. Global Stocks Implode As Trump’s ‘Foreign Virus’ Speech Goes Awry
Global equities plunged on Thursday after Donald Trump suspended travel between the US and Europe an
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Very positive stock market action, slowly weeding out ridiculous imbalances. Very healthy in my opinion.
“Slowly”
Yeah lol, maybe not so slowly. Still a lot of lofty valuations and bad debt to go though.
I’m surprised by the lack of analyst/media discussion of share buyback changes. Of the various “bad things” that can happen that have a large magnitude associated with them, a buyback bust may not be the biggest but it likely has the highest probability. I can’t imagine any company out there continuing to spend on buybacks in an environment that’s screaming “hoard cash, we’re gonna need it, and I don’t need to know why!”. I imagine, like the end of the bull market, the era of buybacks has suddenly ended, Feb 2020, done. The motivation of “best use of excess profits is investor return” now fails because A) the excess profits are vaporizing and B) there are now all sorts of better uses, some of them urgent. But I’m not seeing the memo anywhere.
I’m expecting, memo or not, to simply observe it in equity indices.