AMC Sold Three Times More Shares than Movie Tickets in Q2, Revenues Down 70% from Q2 2019, as Business Model Collapsed

by Wolf Richter • Aug 9, 2021 • 95 Comments

It should just forget about selling movie tickets, and stick to selling its shares to future meme-stock billionaires.

And many people quit their job to take a better job with higher starting wage & signing bonus, offered by desperate employers.

And as the Fed pumps out cash via QE on one side, it mops up $1 trillion in cash via reverse repos on the other.

I’d say, prices at wholesale are still idiotic, but slightly less idiotic. Retail prices lag a month or two.

The Fed is looking for jobs reports to justify tapering its asset purchases, and this was one. But the labor market is still messed up.

Giving political cover to the Fed to tamp down on inflation. Which fits neatly into my theory.

In an economy screaming for labor, the data is becoming clearer, despite breathless media coverage to the contrary.

Frustrated by lack of choice and puffed-up prices, many customers walked.

This combo of massive QE, repressed interest rates, huge government stimulus with borrowed money, and raging inflation is new in recent history.

Mass-forbearance is the best thing that ever happened to sweeping reality under the rug. But now, there’s a huge mess under the rug.

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