Howestreet.com - the source for market opinions

ALWAYS CONSULT YOUR INVESTMENT PROFESSIONAL BEFORE MAKING ANY INVESTMENT DECISION

March 18, 2019 | Plunge in Semiconductor Sales Warns on Global Economy

Danielle Park

Portfolio Manager and President of Venable Park Investment Counsel (www.venablepark.com) Ms Park is a financial analyst, attorney, finance author and regular guest on North American media. She is also the author of the best-selling myth-busting book "Juggling Dynamite: An insider's wisdom on money management, markets and wealth that lasts," and a popular daily financial blog: www.jugglingdynamite.com

Semiconductors are a critical component of everything that is computerized in modern human life.  ECRI’s Achuthan explains that the 20% ‘collapse’ in semi demand to a 10-year low in growth, belies the 21% rebound in the semiconductor stock index year-to-date.

ECRI’s Lakshman Achuthan builds his bearish case on a chart of falling semiconductor shipment demand. Here is a direct video link.

Semiconductor rally shows signs of collapsing, market forecaster Lakshman Achuthan warns from CNBC.

The collpse in semi-demand over the last year is also a warning sign for US GDP.  This chart since 2000 shows the three month moving average of semiconductor sales (dark blue) leading US GDP growth (light blue) by about six months.

STAY INFORMED! Receive our Weekly Recap of thought provoking articles, podcasts, and radio delivered to your inbox for FREE! Sign up here for the HoweStreet.com Weekly Recap.

March 18th, 2019

Posted In: Juggling Dynamite

Post a Comment:

Your email address will not be published. Required fields are marked *

All Comments are moderated before appearing on the site

*
*

This site uses Akismet to reduce spam. Learn how your comment data is processed.