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“I spend a lot of time rectifying what’s going on in the media — news, headlines — versus what is actually happening under the surface.”
I thought about that quote as all I’ve recently seen — as I’m sure you have too — is the news cycle dominated by headlines about slowing growth:
Jason recently shared with his Quantum Edge Pro readers three guideposts for navigating the bombardment of earnings slowdown news as an investor.
The first is to keep any potential worries about an “earnings recession” in perspective.
“Let’s just use Microsoft as an example. Now, the thing is, cloud computing and Azure specifically grew immensely like Jack and the Beanstalk for the past three years. So now they’re talking about maybe a 4% to 5% slowdown in growth. It’s really not that bad, people. But, you know, nobody wants to hear negative news.”
The second was that a lot of this slowdown in earnings growth shouldn’t be a surprise for the tech sector.
“Everybody got crazy about the metaverse and cloud computing and all these things. And all of a sudden, when economies slow down, people are thinking about very practical things, like, ‘How am I going to fill up my car?’ ‘How am I going to put food on the table?’ You know, more direct-to-consumer concerns than the engine of economic growth.”
And the final thing “underneath the surface” of this early bearish earnings news cycle is one of the most important pieces of advice you may hear all year, which Jason shares at the 5:56 mark in the video below: