Welcome to the IC's brand new Alpha Podcast and the hotly anticipated return of resident analyst, Phil Oakley.
On this week's episode, John and Phil discuss the worrying outlook for the UK economy and the pound as a result of the government's disastrous handling of Covid-19 and now the final stages of Brexit negotiations.
For companies exposed to the consumer economy this has brought mixed fortunes. As John and Phil discuss, strong numbers this week from Games Workshop and Frontier Development highlight the business models fit for the Covid economy – even if their high valuations give pause for thought. But for those like Fevertree Drinks, lockdown has proved a much greater challenge despite a leap in in-home drinking and expansion into the US – can it recover to live up to its shares premium rating?
Looking for more?
If John and Phil's discussion wasn't enough, you can read more ofPhil's thoughts on these companies in his weekly Alpha report.
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More from Phil Oakley's Weekly Roundup
Phil doesn't normally listen to central bankers, but reading between the lines of the week's pronouncement fro the Fed's Jerome Powell has him worried about inflation's corrosive effect on returns.
Finding quality companies at a decent valuation is becoming increasingly difficult as investors have bid such companies up to arguably dangerously high levels due to the paucity of alternative options for their money.
"Despite my concerns about high valuations, I do not believe that share prices are going back to historical averages or will undershoot them in a hurry"