Hedge Fund Managers Warn of More Turmoil/Recession Ahead
"While stocks may be experiencing a reprieve from a recent steep sell-off, investors likely remain jittery as runaway inflation, lingering supply chain disruptions and hawkish central banks continue to place pressure on markets.
That’s led some renowned money managers and finance experts to take to Twitter and express their concerns over a possible economic meltdown coming." - read more on BNN here
Breaking Thoughts: Big names in finance such as Bill Ackman, David Rosenberg, Michael Burry and others share concerns over a mix of inflation/high energy prices and rising rates which taken together make a recession as well as stock market decline more likely.
While their concerns make perfect sense, it is our opinion that much of the inflation is driven by political/war issues, which can still be resolved at any time.
Peace -> lowers oil prices -> lowers inflation -> slows down interest rate hikes -> stocks rebound/normalize
However, until such developments investors should be wary of making any large impulsive investments. Instead consider remaining in a dollar cost averaging strategy or waiting out the volatility.
Major Earnings This Week
Tuesday May 31:
HP (HPQ): Expected Q2 earnings of $1.05 per share
Salesforce (CRM): Expected Q1 earnings of $0.94 per share
Wednesday June 1:
GameStop (GME): Expected Q1 earnings of $-1.45 per share
HP Enterprise (HPE): Expected Q2 earnings of $0.45 per share
Descartes Systems (DSGX): Expected Q1 earnings of $0.26 per share
Thursday June 2:
Asana (ASAN): Expected Q1 earnings of $-0.36 per share
CAE (CAE): Expected Q4 earnings of $0.23 per share
Crowd Strike (CRWD): Expected Q1 earnings of $0.23 per share
Lululemon Athletica (LULU): Expected Q1 earnings of $1.43 per share
Major IPOs Expected This Week
None
See you next week!
Learn how to apply news and information into your financial decision making by visiting our Learn Personal Finance guide or check out our easy to use Financial Tools! Best of luck and happy investing to all!
The Market News Reel for this week! Get the most important market news & updates for the week ahead! Major headlines, excerpts from news sources are shown above. "Breaking Thoughts" section is purely our opinion.