Thoughtful Money with Adam Taggart Stocks Headed Lower Say Key Indicators | Jesse Felder
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May 1, 2025 
Jesse Felder, founder of The Felder Report and a leading macro analyst, explores the shifting landscape of investing in today's market. He discusses the potential end of globalization and its implications for corporate profits. Felder highlights the importance of strategic diversification towards commodities like gold amid rising inflation. The conversation also delves into insider trading behaviors as indicators of market health and how current economic dynamics suggest a cautious approach to portfolio management in an evolving financial environment.
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Globalization's Paradigm Shift Ends
- The era of globalization with rising corporate profit margins is ending, shifting to deglobalization.
- This paradigm shift threatens profits and demands investors rethink future strategies.
Risks to Corporate Profit Margins
- Elevated corporate profit margins rely on offshore labor and markets, now at risk from deglobalization.
- This could reverse gains, turning today's winners into tomorrow's losers for investors.
Profit Margins Are Unsustainable
- Stock valuations assume today's profit margins will persist, which is unlikely.
- Profit margin mean reversion would drastically alter valuations, warning investors to be cautious.
