Today we are watching…
1. Walmart (#walmrt)
Students up and down America are facing ‘restricted living’ orders from their college dorms due to the risk of spread. You know what that means. Walmart is reporting unbelievable ramen sales. The five-minute meal is being devoured, revenues accelerating over 500%, and the panic-buying isn’t a surprise to investors following events in Europe. Supermarket stocks had some short-term lift in them in Britain as consumer behavior to hoard toilet paper, and pasta wasn’t anticipated. The extent of the buying in the USA could be off the charts, so many investors are not all done with their superstore trading.
2. American Airlines (#amerair)
Superinvestor Warren Buffett has been busy during this downturn, selling shares in Southwest Airlines and Delta Air Lines. He hasn’t touched his holdings in American Airlines, however, and markets are following his cue. To say that Buffett has clout in the investing world would be a massive understatement, so these stocks face a make or break judgment from the “Oracle of Omaha.” Airlines are getting bailouts, but they won’t get something for nothing. Some carriers around the world like Lufthansa have been forced to give the government ownership in their businesses to survive. The American saga has only just begun!