The market catalyst you're not paying attention to

The Street

No doubt, tariffs will impact the stock market...they already have. But is there another market catalyst we're not paying enough attention to? Louis Llanes breaks it down in the latest episode of TheStreet Stocks & Markets Podcast.

Transcript

00:00The tariffs won't be as inflationary as the alarmists are saying, but I think the other

00:06part of the equation where we're investing more in the United States, which I do think will continue

00:10to increase, that will hold up interest rates. And I think that's going to, the real fast-growing

00:16companies that are way overvalued, they're going to struggle, I believe. And before the year started,

00:21I wrote an article about how I think that's going to happen and that we would have big downs and

00:25it would be a lot of chaos because whenever you're dealing with policies like tariffs,

00:30that's a very chaotic type of a scenario because it's game theory. You don't know how the other

00:35side is going to work. So I'm really looking at taxes and I really, a lot of people, this whole

00:41new thing with the healthcare equalization of pricing and pharma, that is a big deal.

00:47That is an enormous deal. I mean, you think about it, because we have, I was looking up and just

00:52doing some research, a lot of countries have, you know, very long-term contracts with their pricing,

00:57right? And they're, you know, Japan, Europe, Canada, they're really price controlling, right?

01:02And the United States is subsidizing and we've been doing that for years. In fact, I talked about

01:06that when I did my MBA. It's been happening forever. So, you know, that, if we're immediately

01:13going to be doing that, it's going to, there's going to be a multiple effect that some companies

01:17are going to do well and some are going to get hurt pretty badly, I think. Because if prices,

01:22if we move our prices down, who's going to pay it? You know, are they going to raise prices in Europe

01:27and all, I don't know that it's all going to happen all at once. I think there'll be like

01:30dislocations and we'll be talking about certain companies that are really going to get hurt by this.

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