Fear of Inflation Is Scaring Markets, Says Cathie Wood

Ark Investment Management's Cathie Wood talks about the recent selloff in stocks and says fear of inflation is scaring markets. She spoke with Erik Schatzker at Bloomberg's "The Future of Global Financial Centers" in Miami on Dec. 3.

[KluverBucy]

She had a great run...but it's starting to look like she might be as clueless as everyone else.

[jessicamoore]

If you're holding cash, you have a 100% chance of losing money yearly due to inflation.

[PorscheSweden]

It’s easy to package a fund based on the most popular stocks during a mega bear market and claim success, problem is that when the bull market reverts, these become the most sold stocks. The ark fund will implode

[snoopcow]

Cathie Wood is a seasonal trader who is riding high during the boom time, all of them will inevitably revert back to the mean. In 5 years, when ARKK is left in the dust @$25 - $30 range, no one will remember her.

[jacklow]

The fear of inflation?Inflation has been here for months.

[GenXstacker]

Shorting arkk has been a good trade lately.

[MrSupergibs]

I agree with Cathy's longer term view on inflation, however I don't see the "deflationary" impact from AI in durables, inventory is not quite yet here, though durables company margins will suffer in the future as more companies over order to keep up with demand.

[richardzimmermann]

DNA sequencing, robotics, blockchain technology… how does any of this help with rising food, housing and energy costs? Why does she feel the need to be edgy and disruptive?

[SM-scmw]

She bought Robinhood come on that company had one of the worst earnings ever she’s a teenager investing in bubble stocks

[talkingcrypto]

Printing money creates inflation... who didn't see this coming?

[saintpreferred]

She's getting paid handsomely from her funds, no matter what comes out of her mouth. Better to listen to Peter Lynch, who says you cannot predict interest rates or inflation. So don't worry about it. A GOOD INVESTOR MAKES MONEY IN ANY MARKET/ECONOMIC CYCLE.

[hermitally]

Its going to take atleast ten years for this change. Only invest if you can gamble.

[inflationking]

I'm working in the AI field since years now (I would argue at the forefront of innovation) but the level of BS that comes from Wood is astounding. Most companies in the real economy have not even started with basic data management and acquisition of data that can be used for AI. Obviously there lies big potential in the underlying platforms but this will at least take 10-20 years in my POV before AI replaces vast amount of people in the workforce leading to productivity increase that would justify her deflation hypothysis. Meanwhile, central banks pump trillions into the fiat monetary system. You better run aways from her funds in my POV!

[groundedinfirstprinciples]

What is the source of this entire video. Date time, source? Link

[pauln]

There is extremes of both. You can inflate to Venezuela. You can also deflate to the great depression. Which one do you think we are near? Last time I checked, we have not deflated our monetary system since people actually cared.

[lorenzmuller]

Well, question remains if you have to be new and fancy to innovate and to automate. I'd say no. Old legacy businesses may innovate as well and reinvent themselves. Just think of the restaurant space: they implement ghost kitchens, they introduce apps, they use intelligent digital boards, they do tons of automation... It doesn't have to look cool in order for it to work!

[abradfordajb]

Anyone who wants be on the right side of the future's economy, NEEDS to really digest and understand the theme of innovation and disruption, and what it portends for the future.

[xz]

Maybe she should think about the fear of high valuation

[slovokia]

In another life Cathie Wood could easily have been a preacher in a church. In some ways she is now in that she leads her flock of believers.

[pmapires]

Cash is the worst, CDs, bills and bonds are the 2nd worse. You should prefer free cash flow & dividend & takeover premium today than tomorrow, so value should outperform growth and small should outperform big. You're better with divy today than tomorrow. Mega tech will probably hold very well too because some are almost monopolies and others are darlings of consumers. Better than these, I can only think of gold and commodities. In terms of sectors: utilities (including telecom & cable) and food are the last things consumers will cut spending on so firms will hike prices to keep up with inflation. Emerging markets and commodity currencies should do better too. Real estate looks toppy and vulnerable to IR hikes. With so much money in cash, CDs, bills and bonds, I can't see why mild to medium Inflation isn't going to pump the stock market, at least some sectors of it. Where else are you going to put your money? Sit in the sidelines and loose 6%/year to inflation? Be happy earning 1.5% in treasuries and loosing 6% to inflation? Buy the trash coin or bit crap ponzi schemes?