Most Telegraphed Recession Ever? | The 4 Rs | Recession | Rates | Reduction of Stock Multiples | Russia

ZEGA CEO Jay Pestrichelli joins Derek Moore to discuss the current economic and market environment. Topics include the 4 Rs Recession, Rates, Reduction of Multiples (PE Ratios), and the conflict in Russia.

Why the Fed raising rates may not help inflation

Impact of Walmart and Target earnings results on net profit margin expectations

End of 2021 market was pricing in higher margins and growth

Earnings so far have held up well

Earnings expectations have increased not decreased

Why interest rates matter for many putting values on companies and markets

Is Russia factored into markets?

Everyone is talking recession so is it so obvious people may be wrong?

The market continues the 2021 trend in 2022 by reducing the forward PE ratio

A detour to explain how a reverse discounted cash flow on Tesla shows in the end its buyers and sellers

Retail sales as something to watch in the aftermath of Walmart and Target

Mentioned in this Episode:

Contact Derek Moore [email protected]

ZEGA Financial www.zegafinancial.com

Derek Moore’s Book Broken Pie Chart https://www.amazon.com/Broken-Pie-Chart-Investment-Portfolio/dp/1787435547?ref_=nav_signin&

Jay Pestrichelli’s Book Buy and Hedge https://amzn.to/3wHn1gz

How interest rates affect market valuations https://podcasts.apple.com/us/podcast/why-interest-rates-effect-stock-market-valuations/id1432836154?i=1000561458590

CME Fed Interest Rate Probability Tool https://www.cmegroup.com/trading/interest-rates/countdown-to-fomc.html