In this episode, Scott Becker breaks down eight key stories impacting markets, including government shutdown risks, shifting investor strategies, private equity trends, and major corporate moves from Intel and Starbucks.
Chapter 1: What are the key headwinds causing market declines?
This is Scott Becker with the Becker Private Equity and Business Podcast. Thank you for listening today. We're going to walk through eight stories that we're following today. And thank you very much for joining us. First, as we see it, three key headwinds are causing the markets to fall. Tariffs, threats of government shutdown and potential cuts to government spending.
Chapter 2: Are the risks of a government shutdown easing?
Chapter 3: What recent trends are seen in investor strategies?
Second, the risks of a government shutdown appear to be easing. Hence, the stock market is pointing up today. Let's hope that that lasts. There's an article in Bloomberg, Schumer retreats on government shutdown threat. Third, investors took money out of the U.S. stock market this past week in the biggest numbers we've seen in a long time. They've moved it largely to U.S.
treasuries and to European equities. We'll see how that goes. Fourth, PE exits are moving fairly slowly, but capital costs for LPs are starting to come very rapidly. Fifth, Intel Corporation jumped nearly 15% yesterday, a news appointment of an industry veteran as the new CEO. Sixth, the CEO of Starbucks is a winning CEO. Brian Nicole is revamping the chain quickly and making an impact.
The stock's only up 5% year-to-date, but you have to remember that the markets themselves are down significantly. I would bet on him and Starbucks. Seventh, RH... a company we love to hate, dropped another 10% yesterday. Finally, eighth, we'll keep following closely inflation, tariffs, and more. Thank you for listening to the Becker Private Equity and Business Podcast. Thank you very much.