This article talks about how wages are growing slower and people may spend less money. This can hurt the economy and stock market. But, it also says that a big company called Apple is doing well because they announced a huge plan to buy back their own shares and their leader Tim Cook sounded very hopeful. People think this is good news for everyone so the stock market is happy. Read from source...
- The article title is misleading and sensationalized, as it implies a negative correlation between wage growth and stock market celebration, which is not necessarily the case. Wage growth may have other effects on the economy and consumer behavior that are not captured by the title.
1. Avoid investing in Apple Inc (AAPL) due to its overvaluation and uncertainty in the Chinese market. The Q2 iPhone revenue was significantly lower than last year, indicating a decline in demand for Apple products. China sales are down 8%, which is a major concern for the company's growth prospects.
2. Invest in consumer discretionary stocks that benefit from low wage growth and high consumer confidence, such as Amazon (AMZN), Netflix (NFLX), or Nike (NKE). These companies are likely to perform well despite the slowdown in wage growth and increased consumer spending.
3. Consider investing in technology stocks that have a competitive edge over Apple Inc, such as Microsoft (MSFT) or Alphabet (GOOGL). These companies offer innovative products and services that can attract customers and generate revenue despite the challenges faced by the smartphone market.