Whetro Morning Market Update Dec 3rd

Stocks got back some of what was lost earlier this week and Tim takes a look at the numbers and what they mean to you. 

Episode Transcript

Speaker 1 (00:01):
How are you, mister Wheetrow. Have to be good, Fritz
Mill the week. It's Wednesday, you go, we made it
this far.

Speaker 2 (00:07):
We've only got a couple of days left to get
through and we'll be all set. According to the headline,
Wall Street held a little bit steadier yesterday. Things started
to stabilize, as they often do, the bond yields and
the bitcline and which we talked about yesterday, losing, you know,
quite a bit. They gained some of that back. Give
us some of the details and what happened on Tuesday.

Speaker 1 (00:30):
Yeah, we're gonna my screen. Cheez, I just locked up right.
I apologize, that's all right, it happens. The screen going
on here now, just yeah, whatever. Here the Dow up
one hundred and eighty five points, which is point thirty
nine of a percent. Yesterday, the S and P five
one hundred up sixteen point seven four points, which is

(00:52):
a quarter of a percent, and the Nazak up one
hundred and thirty seven point seventy five, which is point
over a half percent. We'll just say it like that,
which is good. I like the stabilization. We're talking about
interest rates, and I'm going to jump off the market
here for a while and talk about you know, we say, oh,

(01:14):
well the market gets rough. You know, we look at
interest rates. Should we go to bonds for more security?
And they go up and down as well. But interest
rates at four or five percent will attract people over
But if we talk about how money and this is
just a calculation. This isn't saying hey, go to bonds
or go to stocks or anything like that. It's not
a recommendation anyway. But the rule of seventy two tells

(01:37):
you how quick money can double. If you're looking at
your investment, well, jeez, I've averaged ex amount over the
last so many years, and it gives you an idea
without adding money to your investments. So yesterday the ten
year yield was four point zero nine. Do ide that
into seventy two if it stayed that way, which it won't.

(01:58):
But if it stayed that way, or if a CDs
stays that way, it would take seventeen point six years
to double your money. Okay, Now we had a five
year average, and it depends on when you look at
this and when you calculate it. So I'm not going
to be smack on. But if you look at the
s and P five hundred over the last five years.

(02:18):
Depending on when you do it, you could average between
thirteen to sixteen. Uh and if you vector in inflation
at around eleven average per year for five years. Oh okay,
but let's just say I average seven percent divide seven
into seventy two. That's only ten point two nine years.

(02:38):
But I can't go get a CD in that. So
it's saying that you know, when you're invested, you you
got to write through it on that five year average though,
at the S and P five hundred, right, guess what
happened in twenty twenty two with that average. It took
a negative eighteen point one point one return in twenty two,
But you got to write through that. That's why we

(02:59):
talk about looking at a bigger picture. And again I'm
not making any recommendation. I'm just giving you numbers that
we're looking at. I'm not saying it's going to repeat.
But you diversify, you look at your rate of return. Yes,
bonds are good, stocks are good, CDs are good. Just
you have to invest in what you feel comfortable with.

(03:19):
But that's why people try to get a bigger rate
of return and they take a little bit more risk.
You know, if they do that, they might. If you
take it out in twenty two, you lost money. But
if you stay invested for the long term, that SPF
I've underpaid off.

Speaker 2 (03:31):
Yeah, And it's all about your It's all about your
risk aversion, which is when we when we talk later
in the show about why I invest with you, it's
about risk. Everybody is absolutely different. That's why they need
to sit down with a guy like Tim Wtew and
have that conversation about where they want to be, what they're.

Speaker 1 (03:51):
Afraid of exactly. You have to look at your risk tolerance.
And one of the questions we asked you is like,
how are you going to feel if the market or
your account goes back by fifteen percent? So you kind
of calculate it all up and you give the number
like I do today, I give percentages and numbers because
it all depends on how much is in there. You know,

(04:12):
ten percent of one number is a lot different than
ten percent of a larger number. So when you factor
that fifteen you go, are you going to be able
to ride through that when you watch that number go
down and take that snapshot. So just that's just things
that we calculations that you can do for yourself. And
like I said, there was no recommendations there. It's just
just a different way of looking at things or kind
of calculating.

Speaker 2 (04:32):
It out right, All right, let's get back to the jump. Yeah,
that's okay. Let's get because people need to know that.
Let's get back to the market. Who were the winners
and losers yesterday?

Speaker 1 (04:43):
Right, we had Mango dB, which is a database firm,
jump twenty two point two. Tech came back, Bowling Sword
ten point one percent, United Boots had Better came out
with their earnings four point six. Bitcoin's been on. They
were down at eighty five thousand, and they're above ninety

(05:05):
one at the point the end of yesterday, ninety one thousand.
Great Strategy climbed five point eight. Coin Base Global gained
one point three percent, robin Hood Markets rows two point two.
But we had this one. I want to point out
two Signet Jewelers dropping six point eight percent, which gave

(05:25):
forecast for revenues in their holiday shopping season. That's falling short.
So I'm not sure if everyone's out there spending their
money for Christmas. Well, I don't know.

Speaker 2 (05:34):
There were a lot of people out every time I
went out shopping for the Christmas Now those places were packed, man,
mm hmm.

Speaker 1 (05:41):
And then today we have the ADP Employment report coming out,
and also we're gonna have some service numbers coming out
around nine and ten o'clock. But coming Friday, we have
the favorite FED number for inflation, it's the PCE, so
we're looking for that coming out.

Speaker 2 (06:00):
Breddy all right, So anything today that we need to
be concerned about for numbers on Thursday.

Speaker 1 (06:06):
Morning, well, we have the we have the ADP appointment,
but we also had some earnings coming out today. We're
still earnings, all right. Salesforce RBC are coming out in Snowflake.
All right.

Speaker 2 (06:20):
I'll let you keep an eye on that stuff. I
got other things to do, but we will talk again
tomorrow morning at six thirty five. If you need to
reach out to Tim before that four one nine eight
two four thirty three hundred. Tim w at witroadvisors dot com,
also on Facebook and LinkedIn. Advisory services are offered through

(06:41):
Capital Investment Advisory Services LC and securities are offered through
Capital Investment Group, a member of FINRA SIPC. This time
of year be a good time of year to set
up that appointment. Go in and talk to Tim before
the new year gets started. Make your new year's resolution
to get your self financially stable or at least invest

(07:03):
it and know what you're dealing with.