Member
Posted 25 August 2022 - 02:36 PM
Corporate Profits Soar, Taking Margins to Widest Since 1950...
(Bloomberg) -- A measure of US profit margins has reached its widest since 1950, suggesting that the prices charged by businesses are outpacing their increased costs for production and labor.
The data show that companies overall have comfortably been able to pass on their rising cost of materials and labor to consumers.
Member
Posted 25 August 2022 - 03:21 PM
tops always come with good news.......bottoms on bad ones
forever and only a V-E-N-E-T-K-E-N - langbard
I want return OF my money more than return ON my money
Posted 25 August 2022 - 08:55 PM
Inflation is good for profits in the initial stages. Because corporations can increase prices and customers accept it as due to inflation. This is the case now. Every store has jacked up prices of everything. I shop at Lowes and Home Depot a lot. (don't all home owners?) They have jacked up prices of every item in store by 10-20% over year ago.
However if inflation is higher than wage increases, as is the case now, consumers will be unable to keep buying at inflated prices. My expectations are 2022 will be good year for profits through 3rd quarter ending in October, but 2023 will be a bad year for profits.
Edited by pdx5, 25 August 2022 - 08:55 PM.
I want return OF my money more than return ON my money
Posted 26 August 2022 - 05:51 PM
I had to chuckle after reading this headline in some article:
Stocks end up in a Hole after Jackson Hole.
