Ford and GM Downgrade + Looming Global Recession

So Ford and GM are back in the news.

Ford and GM Downgrade

A UBS analyst just downgraded these stocks and he’s actually putting a sell rating on Ford.

And both of these stocks, as expected, are collapsing right now as this analyst believes there’s going to be weakening demand moving forward after these companies reported record profits in the COVID era.

And what’s adding fuel to the fire is the fact that J.P. Morgan’s CEO just came on the air and said that he believes the US and the global economy could get into a deeper recession six to nine months from now.

And he said the S&P 500 could fall another 20%.

And you guys remember what happened to automotive companies in the last recession, right?  This makes me a bit nervous.

And you guys can see on the charts, Ford (NYSE:F) is down 35% in just the past two months, and we have GM (NYSE:GM) down about 25%.

So, GM (NYSE:GM) is actually holding up a little bit better, but both of these stocks are collapsing.

Let me know your thoughts, follow along for more.


About the author: Stas Serfes is a stock market investor/trader who owns Strive Smart LLC, a media company that’s amassed millions of views across multiple platforms. Upon graduating college, he realized he wanted to take the entrepreneurial route and create his own path. In 2017 Stas started his Youtube channel “Stas Serfes” where he began creating content on his experiences in the stock market and what he’s learned. This stemmed from his passion about money, business, stocks, and personal finance.