Recession Fears, Buyback Tax, Shifting Sentiment & Polling Data

Today in the podcast, we highlight the most interesting chart we saw last week, the most interesting question we got last week, and some noteworthy shifts we’re seeing in some of the high frequency indicators that we track. Three big things you need to know: First, the most interesting chart we saw last week highlights how recession talk among S&P 500 companies is back to 2020 highs. Second, the most interesting question we got last week was on the 1% stock buyback tax in the Inflation Reduction Act. Third, our sentiment indicators, which have been a contrarian buy signal for stocks, are showing some signs of healing which is a positive for the stock market, but some of our political polling indicators are starting to shift in a way that’s unfriendly for stocks and are telling us that we need to keep a close eye on the midterms.