The Economy Thread III: Not Actual Advice And You Shouldn't Lie To Investors

[6souls]

https://x.com/byHeatherLong/status/1877434334405136779
https://x.com/byHeatherLong/status/1877434547337322582

[Meresgi]

https://x.com/byHeatherLong/status/1877434334405136779
https://x.com/byHeatherLong/status/1877434547337322582

Umm no, cuz China is gonna pay for it duh

[archibaldcrane]

https://twitter.com/byHeatherLong/st...69rc5grvA&s=19

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[6souls]

https://twitter.com/byHeatherLong/st...69rc5grvA&s=19

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[Meresgi]

https://www.nbcnews.com/news/us-news...res-rcna187421

Oh cool look at that, fucking landlords being landlords

1 guy loots a mansion for maybe a few grand; non-stop hearing about "LOOTING OMG ITS SO BAD SO BAD"

Landlords and insurance companies fuck over people for hundreds of thousands or more; Little stories here and there

[Obsidian]

The External Revenue Service, lmao

Next week is going to be incredible.

[6souls]

https://x.com/ettingermentum/status/1882602001009385655

[Byrthnoth]

Costco's locations are almost exclusively near cities in super blue districts. Publicly traded companies have a fiduciary responsibility to not be heroic and maximize shareholder value, which is the cause of and solution to a lot of problems.

[6souls]

https://x.com/MorePerfectUS/status/1882864676394217657

Inflation is a good thing

[Zetanio]

Jamie is just lining up to take so many L's.

[Sirious]

The people selling love inflation. They pay more so they charge even more and blame inflation.

The people buying, not so much.

They're all in it for the people on the selling side, obviously.

[Mrbeansman]

So glad Trump is using tariffs to solve the notorious problem of illegal immigrants coming through our *checks notes* northern border.

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[Byrthnoth]

Jamie is a CEO of a major organization. Like Costco he is being entirely rational here. Trump is a petty bitch, so if he openly calls him an idiot then his company gets fucked. If the obvious is obvious, why should Jamie be the one to say it at great cost to his shareholders?

The real problem here is anyone asking him what he thinks in public, which is on CNBC.

It would be great if our corporations and their leaders were moral entities selflessly affecting positive change in the world but every selection step that determines who they are is against that.

[Outlaw]

Nvidia lost close to $600 billion in market cap on Monday, the biggest drop for any company on a single day in U.S. history.

The sell-off was sparked by concerns that Chinese artificial intelligence lab DeepSeek is presenting increased competition in the global AI battle.

https://www.cnbc.com/2025/01/27/nvid...drop-ever.html



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[Mayareira]

600 Billion (with a B) loss of market cap in a day on NVIDIA, this is unseen but not unexpected considering the volume today. Investors are usually unreasonably optimistic when things are good and the other way around when things are slightly bad.

Are we in a dot.com like bubble today? Maybe there is an overpricing but the answer is no, Back in 1999 - 2000 the investments were made only on the news and expectations alone while today the investment and growth is real and returns are tangible.

That said, I don’t really believe in the rumors circulating around that Deep Seek cost only about $6M with an older NVIDIA chip. The figure doesn’t really make sense. Even if we consider it true this doesn’t really hurt the long term ambitions of the AI. What makes less sense is that a clickbait has a potential to wipe $600Bn of a market capitalization of the most valuable firm on the stock market. Once the panic settles we may expect some recovery on yesterday’s losses.

[Infini]

But wait. There's MOAR!

https://au.pcmag.com/computers-elect...targeting-tsmc

The Orange Turbocunt wants tariffs on PC components because they're made in Taiwan. Seriously a week in an this stupid fuckwit is going full retard on the US economy. I swear he's going to trigger a depression in the US with these stupid games eventually and that "lost buisness" he harps on about is not coming back to America, it's going to China or it's going to end up going to the EU instead as buisnesses tend to gravitate towards stability.

[Sirious]

Short (stock)

Tell the world you're going to tariff thing (stock) is involved in

Profit

Buy (stock)

Don't actually tariff

Profit

[Zetanio]

600 Billion (with a B) loss of market cap in a day on NVIDIA, this is unseen but not unexpected considering the volume today. Investors are usually unreasonably optimistic when things are good and the other way around when things are slightly bad.

Are we in a dot.com like bubble today? Maybe there is an overpricing but the answer is no, Back in 1999 - 2000 the investments were made only on the news and expectations alone while today the investment and growth is real and returns are tangible.

That said, I don’t really believe in the rumors circulating around that Deep Seek cost only about $6M with an older NVIDIA chip. The figure doesn’t really make sense. Even if we consider it true this doesn’t really hurt the long term ambitions of the AI. What makes less sense is that a clickbait has a potential to wipe $600Bn of a market capitalization of the most valuable firm on the stock market. Once the panic settles we may expect some recovery on yesterday’s losses.

You forgot the one truth in the market. It's completely irrational. Regardless of what CNBC will say, most things are not priced in and people panic easily.

I'd also say, and this is not investment advice, that we are in a period where AI/presumed AI-adjacent industries like utilities are inflating equity returns across the broader market. While their valuations are much more justified, it doesn't change the dynamic of their performance being far more influential than the other 475 or so companies in the S&P 500 or the other 975 companies in the Russell 1000. The concentration risk is very real and is proving to be problem for index providers and ETF providers due to the 25/5/40 IRS Rule. Having a single industry as the major driver of economic growth is not unheard of but it rarely ends positively. Diversification is what attracts investors to the US markets. If that diversification begins to disappear (I would say it has started to) we'll see that cash begin to disburse to other regions to broaden exposure.

My money is where my mouth is as I'm completely focused on the EU right now and not bothering with inbound client work in the US.

[Tyche]

Short (stock)

Tell the world you're going to tariff thing (stock) is involved in

Profit

Buy (stock)

Don't actually tariff

Profit

Can I just buy puts on the whole ass USA?

[Krandor]

Tech stocks aren't diving again this morning in response to Trump suggesting tariffs on Taiwan, don't think they view it as an actual threat (unless it was already magically "priced in")