"Total Conviction" Signal Flashes for Company 1/100th Nvidia's Size as 1.5% GDP Fuels Crash Fears
Updated
Updated · Yahoo Finance · Aug 9
"Total Conviction" Signal Flashes for Company 1/100th Nvidia's Size as 1.5% GDP Fuels Crash Fears
2 articles · Updated · Yahoo Finance · Aug 9
Summary
A rare "Total Conviction" signal is flashing for an unnamed company described as 1/100th the size of Nvidia, pitched as a potential opportunity even as investors worry about a market break.
Those fears are being driven by slowing U.S. growth and hiring: second-quarter GDP expanded at a 1.5% annualized rate, June nonfarm payrolls rose just 57,000, and labor-force participation fell to 61.6%.
Middle East tensions have also repeatedly jolted oil and energy markets, adding inflation pressure across transportation, manufacturing and consumer goods while the S&P 500 still pushes to new highs.
History underscores the risk: a crash typically means a drop of more than 20%, and the S&P 500 fell 56% in the 2008 crisis before taking nearly four years to regain its prior peak.