Cathie Wood Says ‘Exploding’ Inventories May Augur Weaker Prices
2022.05.19 10:12
© Bloomberg. Catherine Wood, chief executive officer of ARK Investment Management LLC, speaks during the Bitcoin 2022 conference in Miami, Florida, U.S., on Thursday, April 7, 2022. The Bitcoin 2022 four-day conference is touted by organizers as
(Bloomberg) — Ark Investment Management’s Cathie Wood says “exploding” inventories at major retailers like Walmart (NYSE:WMT) Inc. and Target Corp. (NYSE:TGT) paired with declining US consumer sentiment portend slower inflation on the horizon.
The money manager was responding on Thursday to a tweet quoting world’s richest man Elon Musk saying the recent inflation surge was due to government pandemic stimulus, even as money velocity held constant.
Wood argued consumers are “rebelling against their loss in purchasing power” as they reduce spending. She added that the supply chain bottlenecks connected with rising inflation may have been caused by excessive ordering from companies.
©2022 Bloomberg L.P.
