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Fed Chatter, UK Inflation In Focus Amid Sparse Macro Calendar
The first thing you should know about the week ahead is that the list of scheduled speaking engagements for Fed officials is long. Farcically long. So long, in fact, that if you didn't know any better, you could mistake it for satire.
In the days ahead, traders will hear from, in order, Bostic, Bostic again, Barr, Waller, Jefferson, Mester, Bostic a third time (in a single day), Barkin, Waller again, Williams, Bostic (a fourth time in two days), Barr again, Mester again, Collins, Goolsbee, Bost
Dr. H, one could say you have buried the lede here. The cacophony of Fed speak and the stale minutes will be ignored by late Wednesday afternoon with the S&P 1s earnings report.
Does the amount of insider selling at NVDA portend anything for the future stock price?
Ten directors, the Principal Accounting Officer, the Executive VP for Operations, the EVP & Chief Financial Officer, and the President and CEO have all sold shares in the past year. No insiders seem to be buying.
Coincidence? Maybe all these folks decided to have pools put in?
Do the watchdogs for insider trading have enough power to prevent these people from acting in their own self interest?
Not all insider sales are nefarious. Some are pre-planned / programmatic. And more broadly, I have an issue with this notion (not necessarily your notion, but just in general) that company executives shouldn’t ever sell shares. If you work to increase the value of a company, and your work pays off, you shouldn’t be castigated as some kind of villain when you cash in. What’s the point in working so damn hard if you can’t ever take some chips off the table? One argument for share-based compensation is to align incentives. If I’m going to be a bad guy whenever I sell, maybe I’ll just say “You know what? I don’t want shares anymore. I want an all-cash comp package instead. If the stock crashes, it crashes. I get my money either way.”
Also: Everybody, all day, every day, acts in their own self interest. If you delude yourself into thinking otherwise, life’s either going to be a long series of disappointments, or decades of self-deception to avoid coming to terms with the reality that self interest and self preservation outweigh all other concerns at the end of the day. The only exception to that rule is your dog. Your spouse, kids, friends, grandparents, employers, employees — everybody besides your dog — will generally rob you blind (figuratively or literally) if it serves their interests and those interests are pressing enough. There’s one more exception besides your dog: Stupid people. Stupid people put other people’s interests ahead of their own sometimes, and that usually ends up leaving them broke or worse, a situation they excuse by reference to karma and being a good person, which would be great if normative language wasn’t gibberish (it is) and if karma was real (it’s not) and if there was an afterlife where people were rewarded for acting altruistically (there isn’t).
All of that to say it wouldn’t bother me a single bit if Nvidia insiders were selling hand over fist. In fact, I’d be more worried if they weren’t. I’m not sure I want delirious GameStop “diamond hands” in the C-Suite at the most important company in the world.
(Best case for dogs ever.)
Makes you wonder why they call underperformers “dogs.”