I am surprised that there was very little discussion in the business media yesterday that the PPI (printed yesterday morning) is about 200 basis points higher than the CPI (printed the day before).
This means that companies’ input costs are higher than they are charging — and margins are threatened.
This is contrary to the core and foundational bullish investment case that margins will continue to expand.
Doug Kass is a world-renowned hedge fund manager with decades of experience and success navigating through some of the most turbulent periods in market history. He is known for his time-tested analytical skills and ability to look past the current noise and herd mentality.
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