5 Stocks Making Headlines Today

In this article, we take a look at five stocks that are trending today. If you want to take a look at some more stocks that are making headlines on Wednesday and the latest market situation, go to 10 Stocks Making Headlines Today.

5. JPMorgan Chase & Co. (NYSE:JPM) has lost 2.66% of its value as of 12:52 PM ET after the bank’s CEO Jamie Dimon asked investors to brace themselves for an economic hurricane. The CEO made these comments during an investment conference in New York on Wednesday. While speaking to analysts and investors, Dimon highlighted that inflation might not be easing anytime soon as the Ukraine war continues to impact the commodity prices. He anticipates crude oil prices to hit $150 to $175 per barrel. Furthermore, the Federal Reserve has also decided to reverse its emergency bond-buying initiative and contract its balance sheet. JPMorgan Chase & Co. (NYSE:JPM) stock is down 19.42% YTD.

JPMorgan Chase & Co. (NYSE:JPM) was discussed in the Q4 2021 investor letter of Ariel Investments. Here’s what the firm had to say about the company:

“In our view, inflation will not just be a 2021 phenomenon. Inflationary expectations are only now working themselves into the labor market with historically low unemployment, resurgent labor unions, and higher wages. These labor cost pressures are only starting to show up in the Consumer Price Index. The most recent Producer Price Index showed a +9% year over year increase, the highest since it was created in 2010. Higher input prices generally lead to rising consumer prices.

“In our view, inflation will not just be a 2021 phenomenon.” 

Consumer balance sheets are in excellent shape with lower unemployment and banked stimulus checks. A recent analysis from JP Morgan Chase (JPM) showed average checking accounts have 50% higher balances than pre-Covid. The U.S. money supply as measured by M2 (a calculation that includes cash, checking accounts, and “near cash” such as money market securities) is up +38% versus year-end 2019. Higher consumer cash holdings and higher money supply mean more spending and demand for goods. Some emphasize supply issues to explain current inflation. Going forward, we see very strong demand as well, too much money chasing too few goods.”

Of the 912 hedge funds in Insider Monkey’s database, 110 funds held a stake in JPMorgan Chase & Co. (NYSE:JPM) as of Q1 2022.