Quote:Cathie Wood believes that if a market bubble is growing, it is being created within value stocks and not growth names. "In our view, the real bubble could be building in such so-called "value" stocks with much higher valuations in the context of a five-year investment time horizon as opposed to last year," Cathie Wood wrote in ARK's latest quarterly report. Wood added: "Meanwhile, the valuations of many innovation related stocks have been cut in half." Moreover, in ARK's quarterly commentary report it also states: "In our view, long-term inflation fears are overblown because inventories are stacking up in the face of weak consumption." It's ARK's view that the real risk to the market outlook is deflation versus inflation.Cathie Wood says the real bubble could be building in such so-called “value” stocks | Seeking Alpha
Quote:Meanwhile, companies are beginning to warn of a business impact in January from the fast-spreading Omicron variant. Today Lululemon said the variant is weighing on its business to cap off its fourth quarter, while FedEx acknowledges it's seeing staffing shortages. “We are closing out a strong 2021 in the coming weeks, and we’re pleased with how Lululemon has delivered over the course of the year. We started the holiday season in a strong position but have since experienced several consequences of the Omicron variant, including increased capacity constraints, more limited staff availability, and reduced operating hours in certain locations," Lululemon CEO Calvin McDonald said.Stock market is 'massively' overvalued, warns strategist