Epic Short Squeeze Remains In Play -- December 19, 2023

Locator: 46347INV.

Later: at the close but a lot of those having a great day earlier, turned, many turning negative. Buying opportunity?

Original Post

FOMO, YOLO, MOJO, and an epic short squeeze:

*******************************
Online Shopping

All roads lead to Nvidia (nvidia has become a metonym, for me):

• terabytes of shopping
• terabytes of AI to data mine that shopping
• terabytes of cybersecurity

Link here.

I saw this Steve Liesman report live -- absolutely amazing.

Look at the numbers! Amazing. 

Seventy-five percent of Americans: online shopping as their top one or two destinations. 

After a two-year slump below its pandemic high, online shopping made a comeback this holiday season. The CNBC All-America Economic Survey finds 57% of Americans naming online shopping as their top one or two destinations for Christmas gifts. In 2006, online shopping accounted for just 18% of responses. It hit an all-time high in 2020, at the height of the pandemic, when 55% responded it was the top destination. It scaled back to 51% last year, holding on to some but not all of its pandemic gains. But this year, hit yet another all-time high.

The reason for the surge is unclear but a look at those spending more online this year suggests it could center around a search for bargains to combat inflation. Among those groups spending more online are women 50 and older who as a group reported more frugal holiday spending plans than average and are more concerned about inflation and the overall condition of the economy. Still, the group shops less online than younger women aged 18-49. 

Also spending more online this year than last are those with incomes below $30,000 and those who plan to spend only $200 on gifts, far below the $1,300 average.

Pet peeve: in the middle of a "data-driven story," the writer throws in an opinion: 

The reason for the surge is unclear but a look at those spending more online this year suggests it could center around a search for bargains to combat inflation. 

What drives that opinion?

Why are folks shopping on line? Four reasons:

• convenience;
• convenience;
• convenience:
• convenience.

Prices / inflation has nothing to do with the records being set.

Two questions not asked:

• of the average $1,300 spent this year on "Christmas," what amount / what percent is spent on gifts for folks who don't live in same city as you do?
• when did you last visit the USPS to mail a package?

It does not matter whether one is a member or not, as long as one spends at least a nominal amount (generally around $35 per visit) one gets "free" shipping."

Seventy-five percent of folks shop on line. Seventy-four percent of that spending is done at Amazon. No one even comes close.

And again, incomplete data: "Today, that percentage has risen to a commanding 74%, unchanged from last year but below its 2019 high."

So, what was the "high" / the number in 2019?

By the way, Amazon is emphasizing BNPL or at least offering incentives to use BNPL plans.