In this episode, Scott Becker breaks down the latest economic and market trends, including rising recession risks, Goldman Sachs’ revised S&P 500 forecast, Porsche’s job cuts, and more.
Chapter 1: What are the latest inflation trends?
This is Scott Becker with the Becker Private Equity and Business Podcast. We're going to bring you today five stories that we're following. One is sort of a prescript. So the first prescript is that inflation came in a little bit lower than expected.
Chapter 2: How are the markets reacting to inflation data?
the markets like that early this morning but then seem to rebound to the negative a little bit later this morning we'll see how this plays out at the end of the day the lower inflation gives some comfort that power will be closer to lowering rates at the same time still concerns about trade policy and a number of other things that are driving sort of the market to be very soft even with lower inflation and here are five or six stories that were fogged today
Chapter 3: What is the current recession risk according to JP Morgan?
JP Morgan now says the chances of a recession have increased to 40%. We're not surprised by that. Lower GDP growth, and if we actually cut government spending, we're going to have even lower growth. So we could see that. Second, Goldman Sachs lowers the S&P 500 forecast further. They're still projecting a pretty up year, but not nearly as much as it was going to be, and we'll see how that goes.
Chapter 4: What did Goldman Sachs say about the S&P 500 forecast?
Third, Porsche. And remember with Porsche, there is no substitute. Their profits and revenues fell, and they announced 3,900 job cuts, again, trying to sort of get themselves leaner and sharper and stronger. Fourth, there's a book by a guy, Brad Jacobs, How to Make a Few Billion Dollars. So he's a few billion dollars ahead of me.
Chapter 5: How is Porsche adjusting its workforce?
Chapter 6: What insights can we gain from Brad Jacobs' book?
And he says to reframe every day, not to what was going on that day, but what's the best part of your day and to focus on the most positive as much as you can.
uh fifth president trump speaking in economy says that the market doesn't really concern him and the market volatility doesn't concern him he essentially says i think we're going to have an economy that's a real economy not a fake economy and as much as people hate president trump i think there's a lot of truth to that because we've been using so much deficit spending to blow up our economy the last few years that it is somewhat of a fake economy
A couple other notes, Avis, American Airlines, Expedia all got slammed yesterday. We'll see how today goes. The other thing we'll tell you is in terms of debt and the deficit and deficit trade deficits and deficit spending, We often say debt kills countries, companies, and families.
And so even though deficit spending may keep us out of recession, we by no means defend deficit spending and federal spending at the levels it's been at. Thank you for listening to the Becker Private Equity and Business Podcast. Thank you very much.