Jim Cramer says this market is ugly. It’s painful. And it’s likely not done yet.
The Federal Reserve is at war with inflation, and Wednesday it lost another battle, as the latest Consumer Price Index reading came in red hot, Jim Cramer told his Mad Money viewers. But in the Fed’s battle against high stock prices, Wall Street continues to get slaughtered.
The amount of wealth destruction that’s now being done in the stock market is getting very real for a lot of people. Cramer dove into some of the biggest losers in the Russell 1000 to put some of these moves into perspective.
The biggest loser in the Russell since November, when the Fed first declared war on inflation, is Carvana (CVNA) – Get Carvana Co. Class A Report, down a staggering 89%. Wednesday, the company announced it will be laying off 2,500 employees, as it struggles to survive rising interest rates and soaring used car prices that have shut out many buyers.
Carvana is followed by Upstart (UPST) – Get Upstart Holdings, Inc. Report, the lending platform that appeared on last night’s show. Shares of Upstart are down 86% since November as loan losses are beginning to mount.
Other notable names making the loser list are Unity Software (U) – Get Unity Software, Inc. Report and electric truck maker Rivian (RIVN) – Get Rivian Automotive, Inc. Class A Report, both off more than 80%. Online retailer Wayfair (W) – Get Wayfair, Inc. Class A Report can’t seem to find its footing, and investors continue to flee from Netflix (NFLX) – Get Netflix, Inc. Report.
This market is ugly. It’s painful. And it’s likely not done yet, Cramer concluded, but we are closer to the bottom than we are from those lofty November highs.
To sign up for TheStreet’s free daily newsletter with all of the latest articles and videos please click here.
