It is not wealth it is debt, and it is here too. Unwinding leverage is an unstoppable force. Spending is drying up with wages, We are going to see a lot of *wealth* evaporate. China is done and the world is going there with them
china is the last hope for growth enough to justify the insane valuation it has been awarded. China is the US in 1929 and will drag the world with it then start a war
Let's see.... Retail sales have fallen for 7 months, factory orders have declined 8 of the last 9 months, industrial production and capacity utilization are at depression levels, consumer confidence is rollung over, central banks have resorted to to last gasp policies of printing money from thin air, and debt burdened college graduates cannot find work that will allow them to pay back loans or ever buy homes, etc... I make my own arguments after being in economics for 30 years... It sounds like you have been drinking the kool-aid.
LULU is dragging down the sector. Equity prices have been driven straight up for 6 years by inane monetary policies that can only end in disaster, and those stocks that are not making highs are underperforming broad markets. The global economy is on the brink of collapse and retail spending has declined for 7 months because of justified uncertainty. This stock will be trading at a price that reflects the economic conditions that will prevail in 6-12 months, and it doesn't look good. Read Keynes on the 4th stage of capitalism or what he has dubbed "casino capitalism"; it is coming unglued.
The gap at $48-$50 is undeniably asking to be filled imo. I do not believe that fundamentals today are relevant since the stock probably rallied from $30s to $70 on the crowds in the stores today, but what will the stock price say about business this fall or winter? Retail spending is in a secular decline with no regard to policy. Same as Japanese society in 1990 and still no spending recovery has come. Too much debt is burdening the next generation who will not be spending like the prior generation. good luck.