Episode Transcript
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It's helpful. I'm grateful for it, your spot on the Brian Mud Show.
Hello, can socks and cryptocurrencies go? My first role money is never
let your money in emotions cross paths. That's right, because if you do,
you will probably have less of it. And not that that's ever what
you're likely going for, but especiallywhen you're investing, that would be the
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antithesis. And statistically, over ninetypercent of the time that people jump in
and out they try to time markets, they try to time investments in divorce
off than if they have just donenothing after they put their money in an
investment in the first place. Andit really is remarkable how often we get
in our own way. So whatI try to do is take the emotions
out of it by filling what's goingon in the day to day, week
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to week with information, and thenhopefully you can plan soundly for your financial
future on emotionally. The United Statesstock market the greatest wealth creation machine in
the history of the world. Iwant you to be able to benefit from
it. As we get started thisweek, taking a look at the Dow,
at the S and P five hundredand nassek everything higher last week anywhere
from one to two percent, andall major indexes just one person away from
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all time highs now as well,so maybe there's not going to be a
correction after all. If there's onething the financial markets have been this year
unpredictable. Unpredictable would be it acouple of weeks ago, the major indexes,
especially in the NASAK, we're onthe brink of a correction. Following
the two weeks of rallies, includingthe best week of the year for the
Dow last week, we are nowmuch closer to new hins than the correction.
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The market drew strength from fresh economicdata showing optimism waning in the economy.
Specifically, the University of Michigan's consumerCentiment index fell hard over the past
month to sixty seven from seventy six, meaning that basically only sixty seven percent
of consumers have confidence, the lowestread in six months. Now. You
might wonder why the market would rallyon week consumer sentiment. The answer is,
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once again, I believe that loweringconsumer sentiment will lead to lower demand
for goods and services, which willlead to lower prices and thus lower interest
rates, which is mostly what themarket has traded on over the past six
months. That's a lot of ifsthat must come together for that narrative to
hold. What's more is that ifconsumer sentiment becomes two weak, that could
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be a precursor to a recession,which certainly would not be good for consumers
or for stocks. The other importantnews for stocks has been earnings. As
earnings reporting season mostly wrapped up lastweek, the scorecard looked like this.
Seventy eight percent of companies beat expectations, and earnings grew by five point four
percent year every year, the highestin two years. So the earnings improvement
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has helped justify prices to a certainextent. As for cryptos, positive momentum
for stocks did not carry over todigital currencies. They lost value across the
board. Bitcoin dropped about two grandlast week to sit near sixty one thousand,
Ethereum lost about two hundred dollars onthe week to trade a twenty nine
hundred. Meanwhile, the BLAZTF,which represents the top ten cryptocurrencies, was
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off about two percent on the weekendis still sitting at two plus month lows.
I cannot provide any value analysis fordigital currencies because they retain no inherent
value. But I can't for stocksbecause they do using the S and P
five hundred as the benchmark. Ifeverything hit the fan, people PANDIC sold
whatever. The downsid risk of themarket from where we are right now is
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forty one percent. It's a littlebit less risk than this time last week
because even when stock price is rising, fundamentals improved due to earnings faster than
stock prices rose. However, generallyspeaking, we're sitting at the most expensive
market since April twenty twenty one,and one of the three most expensive markets
dating back to two thousand and eight, so the market is still not cheap
here. All this being said,do I think even if stuff starts to
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hit the fan, we're going toget the forty percent sell off? No?
Is it possible? Yes? Andso that's the point. Let's just
say it happened over the shore run. If it wouldn't natively impect your daily
life, great, you're probably wellpositioned. If it would, probably needed
a new plan, if necessary,of pro to help you. We are
seeing in the early going today arally for digital currencies across the board,
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stock market futures a little bit higheras well. All Right, some Florida
headlines residents and drivers a long portionsof the Treasure Coast may still notice some
smoke in the air. A coupleof brush fires over the weekend, one
burning an estimated two hundred and seventyfive acres at Bluefield Ranch that's in the
western part of Saint Lucie County.Another one burning near a Peacock Road and
Okachobe Road near the Saint Lucie CountyFairgrounds. A former President Trump's eighteen year
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old son, Baron declining an invitationto be a state delegate for the Florida
Republican Party. Last week, theFlorida GOP chair said Baron Trump would be
one of Florida's at large delegates atthe July convention. Then Friday, former
First Lady Milania Trump issued a statementsaying wel Barron was honored to have been
chosen as a delegate, he mostregretfully declined due to prior commitments. Mean
while Barron graduating from Oxbridge Academy inWest Palm b Each, Friday's father expected
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to be in attendance. Those area couple of Florida headlines.