Walmart Stock (WMT)

* The cumulative or “stacked” inflation (since 2000) is weighing on the consumer sector * This, coupled with the shrinking savings rate, is critical to the outlook for equities given the role of consumer spending and the large swath of stocks dependent on the consumer… Combine the flatlining in real disposable income: With the dwindling …

It looks like Broadcom ($AVGO) is already back for another fix. It really makes me wonder how there is enough savings in the world to do this, although the Treasury market is telling you there isn’t: Broadcom CDS Explodes As It Seeks Up To $100 Billion In Massive Off-Balance Sheet Debt Deal At any rate, …

* The markets, that is… From the ridiculous: Dr Frankenstein: Now that brain that you gave me, was it Hans Del Brooks? Igor: No. Dr. Frankenstein: Would you mind telling me whose brain I did put in? Igor: Abby someone. Dr. Franksenstein: Abby, who? Igor: Abby Normal – I am almost sure that was the name. Dr. Frankenstein: Are you saying I put …

Meanwhile, in the land of the consumer, CostCo ($COST) and Walmart ($WMT) making new lows as bond yields rise and bond prices drop. With earnings per share expectations likely to be taken lower, the equity risk premium’s discount expands. Positions: None.

There were two important observations regarding sector movements on Wednesday, including the obviously large-sized drop in memory and chip stocks (We are short many of these in our High-Beta Tech Short Basket). But less obvious (apologies to The Princess Bride’s Vizzini) was the drop in Walmart’s ($WMT) share price: Walmart Inc. (WMT) 108.82-4.44 (-3.92%) At close: …