Recent comments in /f/wallstreetbets

gargeug t1_je8flsg wrote

I don't think it will unless something drastic happens. I get the feeling like this is a unique situation in that the largest generation in history just jumped out of the workforce, but they are still alive and consume the same. So while the amount of net work required hasn't changed, there are no longer enough people to do it, who are now demanding more money. So inflation is rising, but unemployment is not going down because it literally can't unless the amount of work required to run society gets whittled down to the bare bones of what the current workforce can handle based on their numbers.

There are only 2 solutions I see. First, that the FED kills all unnecessary/unprofitable work via interest rates and a lot of people have to downgrade their job functions or just not work, which could last 20 years or longer based on the fact that lots of people have been deciding to not have kids. Second option is that AI rides in to save the day. That 300 million jobs affected figure should be viewed as a godsend, not a doomsday predictor. Countries should be dumping funding in to AI or it is going to get real bad for the kids currently being born.

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Paradox68 OP t1_je8fl3j wrote

>and 3rd party retailers would be more likely to ship with Amazon if the delivery business is separated from the retail business

Why do you think this? Like I said, anyone with a brain would still understand that it’s still Amazon or owned by Amazon. And that using the business benefits Amazon in one way or another. Retailers don’t ship with Amazon because they are competing with Amazon. Even if it was separated, they would still know that using Amazon to ship would detriment their business inherently by helping Amazon.

Like I said, it’s all asinine.

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d3nv3rite t1_je8f8eo wrote

Amazon is growing into a conglomerate, similar to how General Electric was 20 years ago, where they are trying to do everything. The problem is that each part of their business has different growth opportunities, which in some cases may actually be hurt due to each business unit having to compete with other business units for capital. An example of this is Amazon Logistics. If spun off into a separate company it could rival UPS & FedEx, and 3rd party retailers would be more likely to ship with Amazon if the delivery business is separated from the retail business. Whole Foods also hasn't done very well under Amazon's leadership, as their focus on technology & online delivery has ruined the store experience with "shoppers" filling the aisles to pick internet orders. These are just a couple examples of business units in Amazon that might be worth more if spun off into independent companies.

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Themailhag t1_je8ej19 wrote

Thats because the fed isnt usually stupid enough to turn the printers back on for a weekend, only to continue tightening. Basically they wanted to break the middle class and they broke the banks instead. Or more likely found another way to steal from us along the way. End result, were green right now only because of the cash injection

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Middle_Name-Danger t1_je8e6pq wrote

Here’s the kicker, a little birdy told me that banks with heavy exposure to auto lending have basically been lending at prime rates to subprime borrowers over the past couple of years.

My guess is Ally Financial is about to be fucked in the next year or two if unemployment goes up significantly. Just like the MTM unrealized losses on MBS and treasuries, it is much uglier if you start applying wholesale book values to auto lending collateral.

These Buffett investment rumors are a smoke screen, he’s too smart to bag hold Ally Financial anymore than he already is.

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