Stephanie Pomboy: "We're Not Out Of The Woods"
So sell this stock rally?
Stephanie Pomboy returns to the channel to explain why she thinks recession odds are much higher than Wall Street expects.
In her opinion, investors should sell into the current rally in stocks before a reversal occurs.
For a detailed discussion on why, click here or on the video below:
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Adam’s Notes: Stephanie Pomboy (recorded 6.10.25)
EXECUTIVE SUMMARY:
Recession Risks Persist: Stephanie Pomboy views the 2025 March-April market correction as evidence of an ongoing consumer recession, with the May rally likely a bear market trap to sell, driven by persistent economic weaknesses.
Consumer Stress Indicators: Rising housing contract cancellations, auto repossessions, and home equity cash-outs signal severe consumer financial strain, worsened by high interest rates and tariff-driven cost pressures.
Skepticism on Employment Data: Stephanie questions the BLS report’s 4.2% unemployment rate, citing a 600,000 labor force drop and discrepancies between household and payroll surveys, indicating weak job growth.
Money Supply Decline: Supporting Lacy Hunt’s thesis, Stephanie notes declining money supply post-tariff front-running, predicting an economic air pocket that could trigger a recession.
End of Globalization: Stephanie sees a shift from globalization’s “Great Moderation” to
