Wall Street Unplugged - What's Really Moving These Markets

China’s problems are only beginning

Aug 16, 2023

The podcast discusses the unfolding disaster in China, including a real estate developer in default, the yuan depreciating, and worsening economic data. It also explores how China's problems could impact other industries and highlights companies overly reliant on China. The discussion also touches on Nvidia's expectation of being unaffected by China's slowdown. The podcast also covers market conditions, potential risks, and concerns for an upcoming quarter. It concludes with a discussion on a specific stock's performance, demand, and competition.

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Introduction

00:00 • 2min

China's Economic Downturn and its Impact on Other Countries

01:46 • 27min

Analysis of Market Conditions and Potential Risks

28:40 • 1min

Expectations and concerns for an upcoming quarter

30:06 • 5min

Discussion on a Stock's Performance, Demand, and Competition

34:47 • 4min

I’m back in the saddle again after a successful hip replacement. Thanks to everyone who sent me well wishes. During my downtime, I’ve been researching a topic that hasn’t been getting the attention it deserves: the disaster unfolding in China. In case you haven’t heard, real estate developer Country Garden is in default… the yuan is selling off hard… and the country’s recent economic data shows no signs of improving anytime soon. Daniel and I break down the latest data points out of China—including warnings from several companies—and explain why things will get worse before they get better. I also highlight why the yuan is crashing… why China’s attempts to boost its currency aren’t working… and how the country’s real estate collapse could spill over into another $3 trillion industry. I share how investors should play the situation… and a couple of companies that rely too heavily on China. One company that expects to come out unscathed is Nvidia (NVDA). Management recently said China’s slowdown won’t affect it at all, despite China accounting for 20% of revenues. Daniel and I discuss the expectations for NVDA’s upcoming earnings report… and share our opinions on how the stock will react next week. Don’t miss tomorrow’s episode of WSU Premium, where Daniel and I will dive into international markets… sift through some recent 13F filings to see where the smart money is investing right now… and discuss the latest sign of “dedollarization” in the global energy market. [Subscribe to the premium podcast at WSUOffer.com.] In this episode Dire warnings about China’s economy [3:05] China’s disastrous economic data [8:00] The yuan is crashing [10:55] A $3 trillion ticking time bomb [14:40] These companies rely too much on China [20:45] What to expect from NVDA’s earnings [29:45} Join us for WSU Premium [37:00] Enjoyed this episode? Get Wall Street Unplugged delivered FREE to your inbox each week: www.curzioresearch.com/wall-street-unplugged/ Subscribe to the premium podcast at WSUOffer.com. Wall Street Unplugged podcast is available at: --iTunes: itunes.apple.com/us/podcast/wall-street-unplugged-frank/ --Stitcher: www.stitcher.com/podcast/curzio-research/wall-street-unplugged-2 --Website: www.curzioresearch.com/category/podcast/wall-street-unplugged/ Twitter: twitter.com/frankcurzio Facebook:. www.facebook.com/CurzioResearch/ Linkedin: www.linkedin.com/in/frank-curzio-690561a7/ Website: www.curzioresearch.com