I USED to be a fan of his back in the days, but I think he’s got some credibility issues.
I stopped reading after the second point of his “sell-off causes”.
His first “cause”:
“Yep, in many areas of this country, especially areas where prices have run up in the last few years, your house is declining in value.”
Not true here in san diego/socal
His second point:
“Second, PPG Industries and Trinseo — two industrial companies considered to be barometers for the economy — have signaled that auto sales are hitting a wall, causing price declines and major sell-offs in shares of automakers like Ford.”
PPG’s woes most like is due to the trade wars we’re having with China and the rest of the world. According to a PPG executive, demand in China has “soften” – you think(?). As far as Ford is concerned, its totally missing out on the shift of consumers’ taste from sedans to sub-compact suvs. And according to the stats here:
Ford’s sales is down 1.8%. GM up 4.2% and Chrysler up 5%. This dude is cherry-picking stats to fit his narrative.
Also, I must have been living under a rock because I didn’t realize that PPG & Trinseo are considered to be barmometers for the economy. Trinseo has a market cap of < $3B, btw.
