Every morning, we run The Narrative Machine on the past 24 hours worth of financial media to find the most on-narrative (i.e. interconnected and central) stories in financial media. It’s not a list of best articles or articles we think are most interesting … often far from it.
This is the map that links them all together for the week gone by.
- The week’s macro focused news (NE quadrant) emphasized the Fed above all – for obvious reasons
- We note, however, that China and trade were never far from the language used to discuss Fed policy
- Language relating to Iran and oil prices was more connected than we would have expected. A little drilling down demonstrates that there is some active linking of ‘geopolitical risk’ and ‘wag the dog’ narratives around China, Iran and easy Fed policy
- Beyond Meat’s adopted taxonomy is not even part of the go-go growth language cluster (NW quadrant). It’s in pure pitch-to-retail land (SW quadrant), through and through, a la Tesla. Proceed with caution.
- As with almost every other network we observe, education and health care / health care cost-related language remains central to almost every graph
- We were surprised to see Slack as disconnected from the rest of the language we would otherwise have expected to be related – whether growth or in retail-friendly momentum language – but that’s exactly where it was. Alone and on its own with only limited connection to any market narrative.
- We are not sure what this says about the IPO frenzy or Slack as a business, but it isn’t being connected to bigger ‘thematic’ market commentary in the way other IPOs in the last year have