Calling the money people...finance, economics, accounting...
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What's your take on this analysis?
Forget Nvidia. Costco and Walmart Look Scarier.
The safety record of zeppelins was relatively unimpeachable prior to the Hindenburg, and that’s why the deadly disaster so shocked the public and devastated the rigid airship industry. In markets too, the most painful selloffs tend to involve things that people erroneously assume to be absolutely secure. In the four decades through about early 2021, structural demand for safe assets pushed the yield on 10-year Treasury notes to new lows, only for a surprise bout of inflation to arrive that year and trigger one of the worst routs on record and, ultimately, a crisis for the banks that misjudged duration risk.
I’m not predicting a crisis, but I can’t help but wonder whether the stocks of Walmart Inc. and Costco Wholesale Corp. represent a similar sort of risk — a risk that a pair of “sure thing” investments could stumble.
Here's the entire Bloomberg article:
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