The latest US Inflation number and what it means for markets, why Amazon ‘Prime Day’ is important and what to look out for from the US Banks this earnings season. Learn more about investing and stay on top of the markets, with the eToro Academy👉
The Digest & Invest Podcast, by eToro’s Sam North and Ben Laidler recorded 13/07/2022.
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Hot Inflation, Amazon Prime Day & US Bank Earnings | Digest & Invest
In the world of finance, there are several major events that are making waves and causing market reactions. From a sharp increase in inflation to the highly anticipated Amazon Prime Day and the release of US bank earnings, investors are navigating through a volatile landscape.
Let’s start with hot inflation. The Consumer Price Index (CPI) recently revealed that inflation surged in the month of June, rising 5.4% year-over-year. This is the largest increase seen in over a decade, and it has sparked concerns about the potential for sustained inflation and its impact on consumer purchasing power. In response to this news, the stock market experienced a sell-off as investors worried about the implications of rising prices on consumer demand and corporate profitability.
Next up is Amazon Prime Day, the annual shopping extravaganza that has become a significant event for both consumers and investors. This year, Prime Day is expected to be even bigger than before, with the tech giant offering steep discounts on a wide range of products. As a result, investors are closely watching Amazon’s stock performance during this event, as it has the potential to significantly boost the company’s sales and revenue. Additionally, the increased consumer spending during Prime Day could have a positive ripple effect on other retailers and the broader economy.
Finally, US bank earnings are in the spotlight as major financial institutions report their second-quarter results. With the US economy showing signs of recovery and interest rates potentially on the rise, investors are eager to see how banks have performed in a changing economic environment. Strong earnings from banks could provide a boost to the overall stock market, while any signs of weakness could lead to increased volatility.
For investors looking to navigate through these market events, it’s important to stay informed and make well-informed decisions. Paying attention to key economic indicators like inflation, consumer spending, and corporate earnings can provide valuable insights into the state of the economy and the direction of financial markets.
Additionally, it’s essential to carefully consider the potential impact of these events on investment portfolios. For example, inflationary pressures could prompt a shift towards assets that historically perform well during inflationary periods, such as real estate, commodities, and certain stocks. Meanwhile, the performance of retailers and consumer-focused companies during Prime Day could provide opportunities for investors to capitalize on short-term market movements.
In conclusion, the intersection of hot inflation, Amazon Prime Day, and US bank earnings is creating a dynamic environment for investors. By digesting information and staying engaged with market developments, investors can make informed decisions that align with their investment goals and risk tolerance. Whether it’s adjusting asset allocations, identifying investment opportunities, or simply staying patient, strategic investing is the key to weathering market turmoil and capitalizing on emerging opportunities.
<I totally agree with what you are saying. I started in crypto in August 2017, and I bought in. I was up 5x by December only to watch that disappear quickly and then watch the original investment go down by about 85% during the ensuing 4 year bear market. I took the opportunity to accumulate more over the last 4 years which was hard to do and at the same time a smart thing to do. I wish I had bought more. I am in profit for now but I am planning on using my experience and what i have learnt from Jim Brin I have learned from you and other Youtubrs especially my mentor Jim Brin who taught me how to make trade and increase my crypto from 11 to 27btc that no one really knows what is going to happen in the market..