December 3, 2025 • 40 mins
https://garykaltbaum.com/
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Speaker 1 (00:01):
Investor's Edge with Gary Cultbomb, straight talk about you and
your money now from the Viz Talk Studios. Here is
Gary Cultbomb.
Speaker 2 (00:11):
And well once again to Investor's Edge, I'm Gary Kolbomb,
your host day. Thanks for being with us today. Glad
you here, ladies and gentlemen, Happy that you are listening.
It's Wednesday, December third, twenty twenty five. Hope you're having
a good day. Hey, ladies and gentlemen. In case you
don't know, this is serious talk on everything that affects you.
(00:32):
We'll do the markets, the economy, jobs, your job, your industry,
tax is, deficit spending, scamsham's, corruption, over promising and under delivering,
and a lot else. But first, if you do not
get this radio show and you city, we'll post at
gary k dot com, willows post on our x feed,
(00:53):
and if you don't follow us on next you should,
and if you'd like to email us, just be nice.
We'll also post it on our of the podcast apps
as well as the TV YouTube channel. Ladies and gentlemen,
if I had a dollar for every time I get
to question, do you think we're in a bubble? So
(01:15):
what we're going to do to start off the show
is talk about bubbles, because, as you know, we have
told you that we have studied past bubbles. There's a
great book called Extraordinary Popular Delusions and the Madness of Crowds.
It's a big book, but you should go read it
(01:38):
if you have an interest. So let me be as
blunt as possible, to the point as possible on the
question of are we in bubbles? Number one, Well, we've
already pointed a bunch out to you that have already
(02:00):
popped the first time. We had told you for weeks,
if not months, the bubbles in quantum computers, drones, robotaxis, space,
nuclear The latest was rare Earth, so bubbles, and they've
(02:26):
popped the first time. Noticed the words the first time.
They certainly can ram them again because they have help,
and it's unfortunate help from this administration that is now
interfering and I use the word interfering in industry like
(02:48):
we have never seen, taking position in companies. Unfortunately, they
caused the big quick bubble in the rare earthstocks that
went straight up, up, straight down fifty sixty seventy percent drops.
And this is not a rib on them. I think
they mean well, do their best, but they started promoting
(03:10):
no sales rare earthstocks. One of them announced, oh, we
have talked to the President and we're cutting deals that
never came to fruition. I'm surprised there hasn't been lawsuits.
So those areas have blown up, but I cannot tell
you they won't ramp again, because you don't know how
(03:34):
long something lasts. And every day nuclear quantum robotaxis, robots, drones,
this and that, and we know just by adding one
plus one to get two, there's no fifty companies that
(03:55):
are gonna do robotaxis. Yet there's so many out there.
If you recall when all the spacks few years back
all announced that they were doing electric vehicles, we laughed
at them, and of course one of them went to jail,
and of course the President just parned them. A bunch
(04:17):
of them have shut down because it's not easy to
do car companies. So that's number one as far as
the bubbles are concerned. Where else have we seen the bubbles, Well,
we're still on Trump. It nauseates me that they came
out with the Milania and the Trump coin, both down
(04:37):
in the nineties, and unfortunately some insiders made off with
billions of dollars. By the way, we're not making that up.
They came out with it. There was massive selling going
on from insiders, and we'll never know who they are.
They're not going to investigate themselves. So those things the
(05:03):
mean coins, and we already know about the NFTs from
years ago. But what about the crypto. Well, to a
certain extent, there is some crypto out there that should
(05:28):
not be training. The doge coin was started as a joke,
things like that. Where it ends up. I don't know bitcoinlessen.
I never thought it would go to one hundred thousand.
Is that a bubble? Well, the last bear market dropped
at seventy five percent, but it came back. So not
(05:51):
so sure, Which takes me to the number one question
artificial intelligence. Gary, what do you think think? Well, we're
very careful with our words here, so I never guarantee,
I never promise, but I state belief. And my answer is,
(06:22):
of course it's a bubble. Of course it is. But
on whom and where and how long is another story.
Here is my thoughts on it. Let's start with Oracle.
(06:44):
They announced gargantuan numbers and the stock still went from
three p forty five down to a recent low well
closed it one ninety seven. It's two o seven now,
which takes me to the part of the bubble. There
is now massive amounts of debt being foisted upon in
(07:06):
the public to pay for all this. But you know
what you're paying for projections. When I hear somebody come
out and say one hundred billion dollars by two thousand
and thirty, well, I say, I don't know what I'm
meeting for dinner tonight. So I think number one, the
(07:29):
number one bubble is they're projections. They don't know. They
really don't know. The other bubble, as I said to you,
The CEO of open Ai was asked a simple question,
how are you supposed to commit to one point two
trillion dollars in whatever when you have ten billion? And
(07:53):
the guy got mad and said, well, just go sell
your stock. It was asked by an investor that worries
the hell out of me. Then there's the circular financing. Oh,
I'm gonna invest thee hundred billion in you just buy
my stuff for me. It just reminds me of everything
(08:14):
I've seen in the past that blows up to a
certain extent. Now, do I think there's a pets dot
Com or there's probably one or two in there. Do
I think Nvidio is gonna be here for heever? Hell yeah?
Oracle hell ya. These companies aren't going anywhere. But I
do believe a lot of it is being based on
numbers that are promise going out a few years. And
(08:37):
I got news for you. They don't know, but we're
supposed to believe them. Why because they're very successful people,
they're very wealthy people. They've done magnificent things. But I repeat,
the projections are insane. And just today, and I don't
(09:02):
know if this is a big deal or not, but
just today Microsoft dropped eleven dollars okay, and the stock's
been weak. Another supposed AI beneficial beneficiary what came out
today from a outfit called The Information. It's a big
(09:23):
outfit on technology. Microsoft is lowering AI software growth targets.
The first title they came out with is lowering software
sales quotas, but later in the day they change it
to lowering AI software growth targets.
Speaker 3 (09:43):
Huh.
Speaker 2 (09:47):
Bubbles are also priced not just preferred for perfection, for
unbelievable perfection. So any chink in the armor, so we'll see.
But here's the key on bubbles. They can last a
(10:10):
long time, and you can miss a hell of a
lot of gains if you sell too soon. And when
I say bubbles, I'm not talking AMC Theater that dropped
ninety nine percent. I'm not talking game stop. This real
(10:33):
company's here. I'm talking valuation and crazy talk. Up next,
we'll put a bow tie on it and lots else
to talk about. I'm Gary, this is the one on
the Investor's Edge. Hi, I'm Gary Kolbaum hosted a nationally
(11:04):
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(11:50):
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Speaker 3 (12:05):
It's time to switch on the integrator units and to
get the brain cells working.
Speaker 4 (12:09):
You're listening to Okay, it could be fun Investor's Edge.
Speaker 3 (12:15):
The last bastion of quality programming.
Speaker 4 (12:18):
With Gary called bomb. It doesn't get better than this.
Speaker 2 (12:29):
And well once again to Investor's Edge. So that's my take.
Do I have any guesses? I think I think all
that you're seeing less a good long while from here.
(12:51):
That's what I think. I think it can last another year.
Who knows, But I am the big belief that these
numbers there's just no way. There's no way. And there's
also the part, do you know when somebody says they're
(13:12):
gonna invest and by the way, there's been talk of
one hundred billion, fifty billion, Nobody invests one hundred billion
dollars if they don't think they're gonna get back one
hundred and one. I see no way that anybody's gonna
(13:36):
make that kind of money off of these investments. Thus,
if I start reading a lot of Microsoft with and
I'm just telling you what's been stated. Microsoft is lowering
AI software growth targets, didn't affect anything today. Semiconductors another
(13:57):
strong today, including the equipment guys, which tells you a lot.
We'll keep you informed, but I think in a few
years we're going to look back and say, holy crap.
That's my take, and I know all the talk. Let
(14:19):
me tell you some of the talk that's going on.
Artificial intelligence is going to enable drug companies to get
drugs out seventy percent quicker than normal. They'll be able
to tell cancer way before they used to. I'm not
(14:41):
arguing any of that. I hope it does. My families
have been touched by cancer. If they can do better
on screening and things like that, God bless them. I'd
love that. And it gets back to return on investment.
(15:06):
Will keep you informed, We'll stay on top of it.
Do you know how we'll know if the end is near,
the stocks will top out, break down and not go back.
Simple as that, and we'll see how it plays out.
(15:28):
The last part of the bubble is pretty simplistic. Valuations
are up there in the trees. In the trees, I'm
pretty sure you're paying two dollars for a lot of
one dollar bills right now. In some names and I
don't know which ones yet, I don't And just in
the past six months, Google was supposed to be crap,
(15:52):
remember that, And now Google's the leader. They call it Alphabet.
I don't know why they changed the name. So that's
a little bit on the bubble front. But there are
other things, you know. I had the honor to be
on TV with Kevin O'Leary what they call him, Mister
Wonderful from Shark Tank, and he came on and showed
(16:15):
us baseball cards or were they basketball card I don't remember,
but they were selling for six million bucks and I
asked them, specifically him and his dealer guy, do you
ever worry that the bubble's gonna pop? And they said,
we don't think there's a bubble. I go, but you
(16:36):
just said that that was worth a million bucks just
two years ago. It's now six million. Do you think
that's gonna keep going? And they said yes, And I'm
thinking to myself, it's a baseball card. And don't get
me wrong, they've done nothing but go up. But you
know what's been going down in the last year. Have
(16:57):
you noticed the high priced watches. I've been reading that
they went insane to the upside and they're getting crushed.
You know what else I didn't even know this sneakers.
I just started reading about it about a week ago.
There's been a gargantuan bull market in sneakers. I have
(17:24):
a Pokemon card I think is worth ten grand. It's
a card we'll see, but leave no doubt. There's no argument.
There's some art out there, which I mean, I can't
believe what some of the art's going for. Do you know?
(17:47):
Was it about two years ago and there's a picture
of it. Some guy sold an invisible sculpture for fifteen grand.
I'm not making it up. Do you know what that means?
There was nothing there. Another guy sold the banana that
(18:08):
was put on a wall and sold for like crap loads.
I don't remember what the number was. So again, we'll
be on watch because the numbers that are being bandied
about on artificial intelligence are just beyond the beyond, and
(18:32):
we'll be glad to be wrong. But we've studied history.
Go study the tulip bulbs. Go study them, go backwards,
go get the book Extraordinary Popular Delusions in the Madness
of Crowds, and you'll see what I'm talking about. And
(18:54):
I'm seeing it in a bunch of forms right now.
We've already seen it in some of the these areas
I've told you, which may or may not get going again. Today, Tesla,
which has been somewhat dorm it was up seventeen bucks.
Do you know why the administration gonna talk about robotics now?
(19:20):
And of course Tesla is a leader in those robots,
so we'll see, will keep you informed. It's a very
good question. I'm where this is gonna go. Just always
think about am I paying two dollars for a one
(19:40):
dollar bill? Always think of that and give yourself a good,
honest answer. But that all said, as we segue to today,
another good broad market day. That was up four oh eight,
but the S and P only up twenty why because
(20:00):
of the technology waiting, Nazdak only up forty, Nazdak one
hundred only up fifty. But the Russell two thousand was
strong broad market. And as we tell you, the Russell
two thousand is laden with a lot of regional banks
and regionals had a good day. And big banks, what
have we been telling you about them? They've been sitting
(20:20):
nice and tight near the highs. Well, they were breaking
out left and right today. The big banks and the
semiconductors had another good day up one thirty one. And
what do we tell you about the overall markets all
the time. If the semiconductors and financials are doing fine,
there is no chance of bear markets except for individual areas.
(20:41):
Up next, what about the rest of the areas? This
is the one only investor's edge.
Speaker 4 (21:11):
You're listening to. America is talking small investors edge.
Speaker 1 (21:16):
He's got the crowd is just on his feet.
Speaker 3 (21:19):
Here, said a boy with Gary called Bob comes highly recommended.
You're gonna feel better if you talk to him.
Speaker 2 (21:34):
Yeah, yeah, yeah. So not only strong day for big banks,
but other financials. They woke up some things that have
been weak, like Blackstone, black Rock, other those uh, private
(21:55):
equity companies better. We already mentioned the semis. You know
it was strong today. The related ten year yale dropped
to four point five seven today, So housing related better today.
You know what else was strong today? The transports. The
transports broke above range today. The IYT that looks a
(22:16):
little different than the transports itself because of the makeup.
IYT broke above we'll call it seventy three seventy today,
which it basically hit six times since January, and broke
above it today. That's your rails, truckers, airlines and stuff
like that. So transports, and as we had told you
(22:38):
for a long time, avoid not anymore. And then the oils.
Very good day for the oils, even though oil prices
were not up that big. And the Oil services TF
which is the OIH, broke above range today round two
ninety eight. The XOP, which is the exploration and production
(23:02):
has not as of yet, needs to get above one
thirty nine, and the XL, which is the big oil,
needs to get above ninety three. It's ninety one to
eighty three, but better toned for the oils. Steel stocks,
metals in mining, steel, copper, aluminum strong today. It helps
(23:22):
that the dollars acting like the south end of a
northbound jackass, but that's because we're getting easy money Trump
going forward. Powell stopped the quantitative tightening, so he's easing.
Looks like he's lowering rates next week, and then they're
(23:43):
gonna put in Kevin Hassett, who, by the way, don't
know him nothing personal. You might as well put two
strings on his shoulders because Trump's gonna run him to
convince everybody at the Fed we're gonna lower rates or
are you fired. That's how it goes. And that's what
(24:05):
really I think is fuel in the market right now,
because I got to tell you the job market sucks.
I know they're going to come out with a strong
GDP number, but take out government spending ain't so strong.
You have to remember, our government is spending four times
as much as they used to twenty five years ago,
(24:29):
and for what you're getting anything out of it, they're
short taken out a lot from you. But I digress.
Very good day, advanced declinent strong three to one to
the better almost on both in disease that we follow.
(24:51):
We don't typically even look at the American that much.
It's so small. New highs picked up today. Good to see.
But as I started out by saying, big banks breaking
out and semiconductor's strong. With a few breaking out, ain't
nothing bad gonna happen overall. I can promise you that
(25:12):
there'll be weakness, they'll be bear markets, they'll be bearish names,
they'll be bearish sectors, but an overall market, hell no.
And now if the big indices break above range, which
they have not, that'll just add to it. S and
(25:32):
P's was sixty nine twenty the high, where at sixty
eight forty nine the DOWS high was forty eight four
to three to one, where at forty seven eight eight
two the NASDAC high a little farther away twenty four
two oh, where twenty three four five four me needs
(25:53):
a little more work than NASDAK and the NASDAQ one
hundred twenty six one A two or twenty five six six.
I just like the fact that the broad market, and
I like the fact that the big banks, and I
(26:13):
like the fact that some of the worst names are
getting stronger. And as always, if anything changes, we'll let
you know. In the aftermarket, Salesforce dot Com a very
week software stock, up about twelve and a half dollars
in the after market to two point fifty one on
their numbers. Keep in mind that topped out at three
(26:37):
hundred and sixty nine bucks December of twenty four. And
by the way the stock is trading, I didn't realize this.
Salesforce dot Com is trading where it was August of
twoenty and twenty. Really, that's over five years. We'll see
(27:03):
if they can come on. By the way, it's done
that while earnings has still been going up, but much slower,
much much slower. Simple CRM and two words again, broad market.
The big banks we follow are Bank of New York,
Bank America, City Group, Goldman Sachs, JP, Morgan Morgan Stanley,
(27:26):
and Wells Fargo Morgan Stanley, New High City Group, New High,
Goldman Sachs getting close, Bank of New York getting close,
Bank of American getting close. JP. Morgan's actually the weakest
of the few. Wells Fargo's right there, and you add
in other financials in the regionals, even the regionals better.
Of course, tomorrow is another day, and of course it
(27:48):
is December, and supposedly December is a good month for
the market. And this that and the other thing. Did
I mention retail too? Okay? Good, good day. An Eagle
outfitter is up three bucks today, the new Yearly High
Boot Barn getting close, something called capri at New Highs
Dollar Tree decent reaction to earnings five below is up
(28:13):
in the fter market on earnings, Ralph Floren recent good reaction.
Ross Store's recent good reaction. Urban outfit is recent good reaction.
So just to add in a little bit of retail
which has been on the weaker side. And that's the story.
(28:34):
While my dog barks in the background. Don't you love that?
My Doggie Winston, my cancer doggie three years ago, terminal cancer,
they said, and he's doing great. And there you go,
(28:59):
ten year yield dry Today, dollar dropped. And by the way,
this Trump in his buddies want a weeker dollar, which
is not good news overall, but does help on multi nationals.
And there's your story. Bitcoin up today. As we told you,
we thought maybe an island reversal, maybe the bear's over.
(29:22):
I don't know. To us, it's just a bounce in
a bearish market. And we'll keep you apprized and if
anything changes, will let you know. There also, I think
that covers it. What haven't we done yet? Oh? Are
we being taken to task? Politics, ladies and gentlemen, Just
(29:45):
remember we have no bias. In the last week, I
had one jackass email me and call me almost every
name in the book because I'm too nice to Trump,
another one saying I'm too mean to Trump. Interesting, huh.
You get two different things from two different people because
(30:10):
they're politics. Message to them, get riddy a stupid bias,
and just watch policy and look for people to tell
you the truth and not lie whatever side of the
aisle they are. So we'll cover that in a little bit.
(30:33):
Why because there's some new stuff out that affects markets,
affects economies, and there's a bunch of bull crap. Unfortunately
no income tax. Think of that. You're being sold a
(30:54):
bill of goods from the leader of the free world
on telling you his tariffs will cover no income taxes
going forward. You gotta be kidding me. Ladies and gentlemen.
(31:17):
We're going to take the president to task on that.
But we'll also compliment Michael Dell doing great things for
our children. Got to love that. I expect more billionaires
(31:37):
to follow suit as we move forward. Up next, a
little bit of that. This is the one only investor's.
Speaker 4 (31:48):
Edge you're listening to.
Speaker 3 (32:16):
What a way for one?
Speaker 4 (32:20):
Ready we can't recalled Bob.
Speaker 2 (32:47):
So as we always say, we just wish we could
ever get back to the point where are politicians don't
treat us like we like we're idiots and like we're
stupid and like we're not watching and I can't find
one of them. At this point, I think there may
(33:09):
be somebody out there that is not just full of crap?
And what do I mean by that? The Speaker of
the House, you think he's important, was asked what he
thought about President Trump pardoning the ex president of Honduras
(33:31):
who is convicted it was going to jail for trafficking
four hundred pounds excuse me, four hundred tons of cocaine.
Speaker 3 (33:44):
Uh.
Speaker 2 (33:44):
I really didn't read into the story. I can't tell
you how much that pissed me off, the Speaker of
the House. Because of politics, I can't say anything bad
about the president. Yet our president, defender of the country
(34:07):
shooting down boats, little boats with people on it. Pardon
the guy who was convicted in a court of law
for trafficking four hundred tons of cocaine. So you know
what that means to me, the unbiased one, go screw.
(34:30):
Don't tell me you're the drug president. Don't tell me
you're defending the country on drugs. You're full of it.
We start with that he pardoned this white collar criminal
that stole billion two billion dollars from people, pardoned commuted
(34:52):
the sentence, say you, and it looks like that has
something to do with restitution not having to pay the back.
It's sickening. And I would say this to the president.
And here's why they're gonna lose the election next year.
Do you know they just had a Tennessee special election
(35:13):
last night where Trump won in the twenties and the
Republicans still won by nine little points in red state Tennessee.
Are you kidding me? If that ain't a warning shot,
I don't know what is. And you want to piss
off independence, keep doing what you're doing, pardoning one of
(35:41):
the biggest drug traffickers in the last decade, white collar criminals,
George Santos. And then there's the BS, which we get
twenty four to seven from the Marxist part. We don't
(36:01):
want to get it from the party in power, the
be it. We're finding out in Minnesota that the governor
knew about massive fraud by a bunch of Somalians and
did nothing about it because he was worried about being
called a racist. Don't worry. A few billion dollars stolen.
(36:23):
But the president's now out saying, oh, we think we
can get rid of the income tax, and we're going
to get rid of the income tax because the trillions
we're bringing in in taffs. Number one, trillions is a lie.
That's number one. It's a lie. I don't want to
be lied to anymore. I don't care who it is.
(36:45):
Do you trillions? You're not bringing in trillions. The number
next part it's a tax hike. So you gonna hike
taxes and just do it. Do you get my point?
I just don't want to hear it anymore, and you
shouldn't either. So it's starting to add up with this
(37:08):
president for somebody who did so many good things the border,
fantastic crime. Love it. I love that he's putting the
National Guard in cities to fight crime, and the crime
numbers are coming down terrific. But then he stomps on
hisself and all this other crap. I don't get it.
(37:34):
So I'm just letting you know the income tax ain't
going anywhere. They're not bringing in trillions on the tariffs.
They're bringing a decent amount of money. I'm letting you know.
It's not coming in from somewhere else. China isn't paying
for it. We're paying for it. They even had admitted,
you know why, because we are paying for it. He
(37:56):
just cut the tariffs on a bunch of products because
we're paying for it. He just tax tariffs on a
bunch of food items because the consumers were paying for it.
But now he's trying to go back to the bs
and it's just getting tiresome. And when I watched today,
(38:16):
I'm saying to myself, come on, stop, you don't have
to do that. You're not getting rid of the income tax.
You're not bringing in trillions, it's not coming in from elsewhere.
And in fact, what you've been doing is cutting the
tariffs down because they've been hurting. So stop the confusion.
(38:46):
And the last part of the equation is if I
had his ear, they're now all they're talking about is affordability.
I got news for you. There's no president can help
with affordability except energy. Keep producing more energy. Prices come down,
(39:06):
simple as that. That'll do it. On interest rates, I
worry you may lower the Fed funds rates, but that
may send a ten year yield higher. We'll see. The
good news is J. Powell is doing the President's bidding
right now by stopping the runoff of his obscene printed
(39:29):
money anyway, I have a little for everybody today on that.
So the people that curse me out because I wasn't
hard enough on the president, and people curse me out
because I was too mean. Hey, you got a little
bit of both for you today. All we want, ladies
(39:50):
and gentlemen, is our leaders keep taxes low, defend the country,
fight crime, get rid of onerous regulations, get the hell
out of the way. Is that asking much? You have
a great evening, Drive carefully when you get home. Do
(40:11):
like we do. It's quite simple. Make sure you hug
your family. Make sure you hug your children. They will
feel better. You will feel better. I promise they will
be well. Have a good night, everybody, peace out, Bye bye.
Speaker 1 (40:22):
This has been Investor's Edge with Gary Cultbomb on biz Talk.
To listen to past episodes or to get in contact
with Gary, go to Garykay dot com. That's Garykay dot com.
Investor's Edge with Gary Cultbomb, straight talk about you and
your money now from the Viz Talk Studios. Here is
Gary Cultbomb.
Speaker 2 (00:11):
And well once again to Investor's Edge, I'm Gary Kolbomb,
your host day. Thanks for being with us today. Glad
you here, ladies and gentlemen, Happy that you are listening.
It's Wednesday, December third, twenty twenty five. Hope you're having
a good day. Hey, ladies and gentlemen. In case you
don't know, this is serious talk on everything that affects you.
(00:32):
We'll do the markets, the economy, jobs, your job, your industry,
tax is, deficit spending, scamsham's, corruption, over promising and under delivering,
and a lot else. But first, if you do not
get this radio show and you city, we'll post at
gary k dot com, willows post on our x feed,
(00:53):
and if you don't follow us on next you should,
and if you'd like to email us, just be nice.
We'll also post it on our of the podcast apps
as well as the TV YouTube channel. Ladies and gentlemen,
if I had a dollar for every time I get
to question, do you think we're in a bubble? So
(01:15):
what we're going to do to start off the show
is talk about bubbles, because, as you know, we have
told you that we have studied past bubbles. There's a
great book called Extraordinary Popular Delusions and the Madness of Crowds.
It's a big book, but you should go read it
(01:38):
if you have an interest. So let me be as
blunt as possible, to the point as possible on the
question of are we in bubbles? Number one, Well, we've
already pointed a bunch out to you that have already
(02:00):
popped the first time. We had told you for weeks,
if not months, the bubbles in quantum computers, drones, robotaxis, space,
nuclear The latest was rare Earth, so bubbles, and they've
(02:26):
popped the first time. Noticed the words the first time.
They certainly can ram them again because they have help,
and it's unfortunate help from this administration that is now
interfering and I use the word interfering in industry like
(02:48):
we have never seen, taking position in companies. Unfortunately, they
caused the big quick bubble in the rare earthstocks that
went straight up, up, straight down fifty sixty seventy percent drops.
And this is not a rib on them. I think
they mean well, do their best, but they started promoting
(03:10):
no sales rare earthstocks. One of them announced, oh, we
have talked to the President and we're cutting deals that
never came to fruition. I'm surprised there hasn't been lawsuits.
So those areas have blown up, but I cannot tell
you they won't ramp again, because you don't know how
(03:34):
long something lasts. And every day nuclear quantum robotaxis, robots, drones,
this and that, and we know just by adding one
plus one to get two, there's no fifty companies that
(03:55):
are gonna do robotaxis. Yet there's so many out there.
If you recall when all the spacks few years back
all announced that they were doing electric vehicles, we laughed
at them, and of course one of them went to jail,
and of course the President just parned them. A bunch
(04:17):
of them have shut down because it's not easy to
do car companies. So that's number one as far as
the bubbles are concerned. Where else have we seen the bubbles, Well,
we're still on Trump. It nauseates me that they came
out with the Milania and the Trump coin, both down
(04:37):
in the nineties, and unfortunately some insiders made off with
billions of dollars. By the way, we're not making that up.
They came out with it. There was massive selling going
on from insiders, and we'll never know who they are.
They're not going to investigate themselves. So those things the
(05:03):
mean coins, and we already know about the NFTs from
years ago. But what about the crypto. Well, to a
certain extent, there is some crypto out there that should
(05:28):
not be training. The doge coin was started as a joke,
things like that. Where it ends up. I don't know bitcoinlessen.
I never thought it would go to one hundred thousand.
Is that a bubble? Well, the last bear market dropped
at seventy five percent, but it came back. So not
(05:51):
so sure, Which takes me to the number one question
artificial intelligence. Gary, what do you think think? Well, we're
very careful with our words here, so I never guarantee,
I never promise, but I state belief. And my answer is,
(06:22):
of course it's a bubble. Of course it is. But
on whom and where and how long is another story.
Here is my thoughts on it. Let's start with Oracle.
(06:44):
They announced gargantuan numbers and the stock still went from
three p forty five down to a recent low well
closed it one ninety seven. It's two o seven now,
which takes me to the part of the bubble. There
is now massive amounts of debt being foisted upon in
(07:06):
the public to pay for all this. But you know
what you're paying for projections. When I hear somebody come
out and say one hundred billion dollars by two thousand
and thirty, well, I say, I don't know what I'm
meeting for dinner tonight. So I think number one, the
(07:29):
number one bubble is they're projections. They don't know. They
really don't know. The other bubble, as I said to you,
The CEO of open Ai was asked a simple question,
how are you supposed to commit to one point two
trillion dollars in whatever when you have ten billion? And
(07:53):
the guy got mad and said, well, just go sell
your stock. It was asked by an investor that worries
the hell out of me. Then there's the circular financing. Oh,
I'm gonna invest thee hundred billion in you just buy
my stuff for me. It just reminds me of everything
(08:14):
I've seen in the past that blows up to a
certain extent. Now, do I think there's a pets dot
Com or there's probably one or two in there. Do
I think Nvidio is gonna be here for heever? Hell yeah?
Oracle hell ya. These companies aren't going anywhere. But I
do believe a lot of it is being based on
numbers that are promise going out a few years. And
(08:37):
I got news for you. They don't know, but we're
supposed to believe them. Why because they're very successful people,
they're very wealthy people. They've done magnificent things. But I repeat,
the projections are insane. And just today, and I don't
(09:02):
know if this is a big deal or not, but
just today Microsoft dropped eleven dollars okay, and the stock's
been weak. Another supposed AI beneficial beneficiary what came out
today from a outfit called The Information. It's a big
(09:23):
outfit on technology. Microsoft is lowering AI software growth targets.
The first title they came out with is lowering software
sales quotas, but later in the day they change it
to lowering AI software growth targets.
Speaker 3 (09:43):
Huh.
Speaker 2 (09:47):
Bubbles are also priced not just preferred for perfection, for
unbelievable perfection. So any chink in the armor, so we'll see.
But here's the key on bubbles. They can last a
(10:10):
long time, and you can miss a hell of a
lot of gains if you sell too soon. And when
I say bubbles, I'm not talking AMC Theater that dropped
ninety nine percent. I'm not talking game stop. This real
(10:33):
company's here. I'm talking valuation and crazy talk. Up next,
we'll put a bow tie on it and lots else
to talk about. I'm Gary, this is the one on
the Investor's Edge. Hi, I'm Gary Kolbaum hosted a nationally
(11:04):
syndicated radio show, Investor's Edge. We're not just handsome radio people.
We manage investors' money for a living, specializing in fee
based discretionary money management. No big commissions, just a fee
on the assets that's managed. We also provide a full
range of personalized services, including retirement planning, fixed income, and
educational needs, all to assist you in achieving your financial goals.
(11:28):
Understanding not all individuals have the same needs, will carefully
evaluate your personal goals to determine a proper investment strategy.
If your current approach to investing is not getting you
to where you would like to be, call us to
make an appointment for a complementary portfolio review. The number
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five five nine. That's eight eight eight four two two
(11:50):
five to five five nine. That's eight eight eight four
two two five to five, five to nine Investment advisory
Services offer through Call Capital Management.
Speaker 3 (12:05):
It's time to switch on the integrator units and to
get the brain cells working.
Speaker 4 (12:09):
You're listening to Okay, it could be fun Investor's Edge.
Speaker 3 (12:15):
The last bastion of quality programming.
Speaker 4 (12:18):
With Gary called bomb. It doesn't get better than this.
Speaker 2 (12:29):
And well once again to Investor's Edge. So that's my take.
Do I have any guesses? I think I think all
that you're seeing less a good long while from here.
(12:51):
That's what I think. I think it can last another year.
Who knows, But I am the big belief that these
numbers there's just no way. There's no way. And there's
also the part, do you know when somebody says they're
(13:12):
gonna invest and by the way, there's been talk of
one hundred billion, fifty billion, Nobody invests one hundred billion
dollars if they don't think they're gonna get back one
hundred and one. I see no way that anybody's gonna
(13:36):
make that kind of money off of these investments. Thus,
if I start reading a lot of Microsoft with and
I'm just telling you what's been stated. Microsoft is lowering
AI software growth targets, didn't affect anything today. Semiconductors another
(13:57):
strong today, including the equipment guys, which tells you a lot.
We'll keep you informed, but I think in a few
years we're going to look back and say, holy crap.
That's my take, and I know all the talk. Let
(14:19):
me tell you some of the talk that's going on.
Artificial intelligence is going to enable drug companies to get
drugs out seventy percent quicker than normal. They'll be able
to tell cancer way before they used to. I'm not
(14:41):
arguing any of that. I hope it does. My families
have been touched by cancer. If they can do better
on screening and things like that, God bless them. I'd
love that. And it gets back to return on investment.
(15:06):
Will keep you informed, We'll stay on top of it.
Do you know how we'll know if the end is near,
the stocks will top out, break down and not go back.
Simple as that, and we'll see how it plays out.
(15:28):
The last part of the bubble is pretty simplistic. Valuations
are up there in the trees. In the trees, I'm
pretty sure you're paying two dollars for a lot of
one dollar bills right now. In some names and I
don't know which ones yet, I don't And just in
the past six months, Google was supposed to be crap,
(15:52):
remember that, And now Google's the leader. They call it Alphabet.
I don't know why they changed the name. So that's
a little bit on the bubble front. But there are
other things, you know. I had the honor to be
on TV with Kevin O'Leary what they call him, Mister
Wonderful from Shark Tank, and he came on and showed
(16:15):
us baseball cards or were they basketball card I don't remember,
but they were selling for six million bucks and I
asked them, specifically him and his dealer guy, do you
ever worry that the bubble's gonna pop? And they said,
we don't think there's a bubble. I go, but you
(16:36):
just said that that was worth a million bucks just
two years ago. It's now six million. Do you think
that's gonna keep going? And they said yes, And I'm
thinking to myself, it's a baseball card. And don't get
me wrong, they've done nothing but go up. But you
know what's been going down in the last year. Have
(16:57):
you noticed the high priced watches. I've been reading that
they went insane to the upside and they're getting crushed.
You know what else I didn't even know this sneakers.
I just started reading about it about a week ago.
There's been a gargantuan bull market in sneakers. I have
(17:24):
a Pokemon card I think is worth ten grand. It's
a card we'll see, but leave no doubt. There's no argument.
There's some art out there, which I mean, I can't
believe what some of the art's going for. Do you know?
(17:47):
Was it about two years ago and there's a picture
of it. Some guy sold an invisible sculpture for fifteen grand.
I'm not making it up. Do you know what that means?
There was nothing there. Another guy sold the banana that
(18:08):
was put on a wall and sold for like crap loads.
I don't remember what the number was. So again, we'll
be on watch because the numbers that are being bandied
about on artificial intelligence are just beyond the beyond, and
(18:32):
we'll be glad to be wrong. But we've studied history.
Go study the tulip bulbs. Go study them, go backwards,
go get the book Extraordinary Popular Delusions in the Madness
of Crowds, and you'll see what I'm talking about. And
(18:54):
I'm seeing it in a bunch of forms right now.
We've already seen it in some of the these areas
I've told you, which may or may not get going again. Today, Tesla,
which has been somewhat dorm it was up seventeen bucks.
Do you know why the administration gonna talk about robotics now?
(19:20):
And of course Tesla is a leader in those robots,
so we'll see, will keep you informed. It's a very
good question. I'm where this is gonna go. Just always
think about am I paying two dollars for a one
(19:40):
dollar bill? Always think of that and give yourself a good,
honest answer. But that all said, as we segue to today,
another good broad market day. That was up four oh eight,
but the S and P only up twenty why because
(20:00):
of the technology waiting, Nazdak only up forty, Nazdak one
hundred only up fifty. But the Russell two thousand was
strong broad market. And as we tell you, the Russell
two thousand is laden with a lot of regional banks
and regionals had a good day. And big banks, what
have we been telling you about them? They've been sitting
(20:20):
nice and tight near the highs. Well, they were breaking
out left and right today. The big banks and the
semiconductors had another good day up one thirty one. And
what do we tell you about the overall markets all
the time. If the semiconductors and financials are doing fine,
there is no chance of bear markets except for individual areas.
(20:41):
Up next, what about the rest of the areas? This
is the one only investor's edge.
Speaker 4 (21:11):
You're listening to. America is talking small investors edge.
Speaker 1 (21:16):
He's got the crowd is just on his feet.
Speaker 3 (21:19):
Here, said a boy with Gary called Bob comes highly recommended.
You're gonna feel better if you talk to him.
Speaker 2 (21:34):
Yeah, yeah, yeah. So not only strong day for big banks,
but other financials. They woke up some things that have
been weak, like Blackstone, black Rock, other those uh, private
(21:55):
equity companies better. We already mentioned the semis. You know
it was strong today. The related ten year yale dropped
to four point five seven today, So housing related better today.
You know what else was strong today? The transports. The
transports broke above range today. The IYT that looks a
(22:16):
little different than the transports itself because of the makeup.
IYT broke above we'll call it seventy three seventy today,
which it basically hit six times since January, and broke
above it today. That's your rails, truckers, airlines and stuff
like that. So transports, and as we had told you
(22:38):
for a long time, avoid not anymore. And then the oils.
Very good day for the oils, even though oil prices
were not up that big. And the Oil services TF
which is the OIH, broke above range today round two
ninety eight. The XOP, which is the exploration and production
(23:02):
has not as of yet, needs to get above one
thirty nine, and the XL, which is the big oil,
needs to get above ninety three. It's ninety one to
eighty three, but better toned for the oils. Steel stocks,
metals in mining, steel, copper, aluminum strong today. It helps
(23:22):
that the dollars acting like the south end of a
northbound jackass, but that's because we're getting easy money Trump
going forward. Powell stopped the quantitative tightening, so he's easing.
Looks like he's lowering rates next week, and then they're
(23:43):
gonna put in Kevin Hassett, who, by the way, don't
know him nothing personal. You might as well put two
strings on his shoulders because Trump's gonna run him to
convince everybody at the Fed we're gonna lower rates or
are you fired. That's how it goes. And that's what
(24:05):
really I think is fuel in the market right now,
because I got to tell you the job market sucks.
I know they're going to come out with a strong
GDP number, but take out government spending ain't so strong.
You have to remember, our government is spending four times
as much as they used to twenty five years ago,
(24:29):
and for what you're getting anything out of it, they're
short taken out a lot from you. But I digress.
Very good day, advanced declinent strong three to one to
the better almost on both in disease that we follow.
(24:51):
We don't typically even look at the American that much.
It's so small. New highs picked up today. Good to see.
But as I started out by saying, big banks breaking
out and semiconductor's strong. With a few breaking out, ain't
nothing bad gonna happen overall. I can promise you that
(25:12):
there'll be weakness, they'll be bear markets, they'll be bearish names,
they'll be bearish sectors, but an overall market, hell no.
And now if the big indices break above range, which
they have not, that'll just add to it. S and
(25:32):
P's was sixty nine twenty the high, where at sixty
eight forty nine the DOWS high was forty eight four
to three to one, where at forty seven eight eight
two the NASDAC high a little farther away twenty four
two oh, where twenty three four five four me needs
(25:53):
a little more work than NASDAK and the NASDAQ one
hundred twenty six one A two or twenty five six six.
I just like the fact that the broad market, and
I like the fact that the big banks, and I
(26:13):
like the fact that some of the worst names are
getting stronger. And as always, if anything changes, we'll let
you know. In the aftermarket, Salesforce dot Com a very
week software stock, up about twelve and a half dollars
in the after market to two point fifty one on
their numbers. Keep in mind that topped out at three
(26:37):
hundred and sixty nine bucks December of twenty four. And
by the way the stock is trading, I didn't realize this.
Salesforce dot Com is trading where it was August of
twoenty and twenty. Really, that's over five years. We'll see
(27:03):
if they can come on. By the way, it's done
that while earnings has still been going up, but much slower,
much much slower. Simple CRM and two words again, broad market.
The big banks we follow are Bank of New York,
Bank America, City Group, Goldman Sachs, JP, Morgan Morgan Stanley,
(27:26):
and Wells Fargo Morgan Stanley, New High City Group, New High,
Goldman Sachs getting close, Bank of New York getting close,
Bank of American getting close. JP. Morgan's actually the weakest
of the few. Wells Fargo's right there, and you add
in other financials in the regionals, even the regionals better.
Of course, tomorrow is another day, and of course it
(27:48):
is December, and supposedly December is a good month for
the market. And this that and the other thing. Did
I mention retail too? Okay? Good, good day. An Eagle
outfitter is up three bucks today, the new Yearly High
Boot Barn getting close, something called capri at New Highs
Dollar Tree decent reaction to earnings five below is up
(28:13):
in the fter market on earnings, Ralph Floren recent good reaction.
Ross Store's recent good reaction. Urban outfit is recent good reaction.
So just to add in a little bit of retail
which has been on the weaker side. And that's the story.
(28:34):
While my dog barks in the background. Don't you love that?
My Doggie Winston, my cancer doggie three years ago, terminal cancer,
they said, and he's doing great. And there you go,
(28:59):
ten year yield dry Today, dollar dropped. And by the way,
this Trump in his buddies want a weeker dollar, which
is not good news overall, but does help on multi nationals.
And there's your story. Bitcoin up today. As we told you,
we thought maybe an island reversal, maybe the bear's over.
(29:22):
I don't know. To us, it's just a bounce in
a bearish market. And we'll keep you apprized and if
anything changes, will let you know. There also, I think
that covers it. What haven't we done yet? Oh? Are
we being taken to task? Politics, ladies and gentlemen, Just
(29:45):
remember we have no bias. In the last week, I
had one jackass email me and call me almost every
name in the book because I'm too nice to Trump,
another one saying I'm too mean to Trump. Interesting, huh.
You get two different things from two different people because
(30:10):
they're politics. Message to them, get riddy a stupid bias,
and just watch policy and look for people to tell
you the truth and not lie whatever side of the
aisle they are. So we'll cover that in a little bit.
(30:33):
Why because there's some new stuff out that affects markets,
affects economies, and there's a bunch of bull crap. Unfortunately
no income tax. Think of that. You're being sold a
(30:54):
bill of goods from the leader of the free world
on telling you his tariffs will cover no income taxes
going forward. You gotta be kidding me. Ladies and gentlemen.
(31:17):
We're going to take the president to task on that.
But we'll also compliment Michael Dell doing great things for
our children. Got to love that. I expect more billionaires
(31:37):
to follow suit as we move forward. Up next, a
little bit of that. This is the one only investor's.
Speaker 4 (31:48):
Edge you're listening to.
Speaker 3 (32:16):
What a way for one?
Speaker 4 (32:20):
Ready we can't recalled Bob.
Speaker 2 (32:47):
So as we always say, we just wish we could
ever get back to the point where are politicians don't
treat us like we like we're idiots and like we're
stupid and like we're not watching and I can't find
one of them. At this point, I think there may
(33:09):
be somebody out there that is not just full of crap?
And what do I mean by that? The Speaker of
the House, you think he's important, was asked what he
thought about President Trump pardoning the ex president of Honduras
(33:31):
who is convicted it was going to jail for trafficking
four hundred pounds excuse me, four hundred tons of cocaine.
Speaker 3 (33:44):
Uh.
Speaker 2 (33:44):
I really didn't read into the story. I can't tell
you how much that pissed me off, the Speaker of
the House. Because of politics, I can't say anything bad
about the president. Yet our president, defender of the country
(34:07):
shooting down boats, little boats with people on it. Pardon
the guy who was convicted in a court of law
for trafficking four hundred tons of cocaine. So you know
what that means to me, the unbiased one, go screw.
(34:30):
Don't tell me you're the drug president. Don't tell me
you're defending the country on drugs. You're full of it.
We start with that he pardoned this white collar criminal
that stole billion two billion dollars from people, pardoned commuted
(34:52):
the sentence, say you, and it looks like that has
something to do with restitution not having to pay the back.
It's sickening. And I would say this to the president.
And here's why they're gonna lose the election next year.
Do you know they just had a Tennessee special election
(35:13):
last night where Trump won in the twenties and the
Republicans still won by nine little points in red state Tennessee.
Are you kidding me? If that ain't a warning shot,
I don't know what is. And you want to piss
off independence, keep doing what you're doing, pardoning one of
(35:41):
the biggest drug traffickers in the last decade, white collar criminals,
George Santos. And then there's the BS, which we get
twenty four to seven from the Marxist part. We don't
(36:01):
want to get it from the party in power, the
be it. We're finding out in Minnesota that the governor
knew about massive fraud by a bunch of Somalians and
did nothing about it because he was worried about being
called a racist. Don't worry. A few billion dollars stolen.
(36:23):
But the president's now out saying, oh, we think we
can get rid of the income tax, and we're going
to get rid of the income tax because the trillions
we're bringing in in taffs. Number one, trillions is a lie.
That's number one. It's a lie. I don't want to
be lied to anymore. I don't care who it is.
(36:45):
Do you trillions? You're not bringing in trillions. The number
next part it's a tax hike. So you gonna hike
taxes and just do it. Do you get my point?
I just don't want to hear it anymore, and you
shouldn't either. So it's starting to add up with this
(37:08):
president for somebody who did so many good things the border,
fantastic crime. Love it. I love that he's putting the
National Guard in cities to fight crime, and the crime
numbers are coming down terrific. But then he stomps on
hisself and all this other crap. I don't get it.
(37:34):
So I'm just letting you know the income tax ain't
going anywhere. They're not bringing in trillions on the tariffs.
They're bringing a decent amount of money. I'm letting you know.
It's not coming in from somewhere else. China isn't paying
for it. We're paying for it. They even had admitted,
you know why, because we are paying for it. He
(37:56):
just cut the tariffs on a bunch of products because
we're paying for it. He just tax tariffs on a
bunch of food items because the consumers were paying for it.
But now he's trying to go back to the bs
and it's just getting tiresome. And when I watched today,
(38:16):
I'm saying to myself, come on, stop, you don't have
to do that. You're not getting rid of the income tax.
You're not bringing in trillions, it's not coming in from elsewhere.
And in fact, what you've been doing is cutting the
tariffs down because they've been hurting. So stop the confusion.
(38:46):
And the last part of the equation is if I
had his ear, they're now all they're talking about is affordability.
I got news for you. There's no president can help
with affordability except energy. Keep producing more energy. Prices come down,
(39:06):
simple as that. That'll do it. On interest rates, I
worry you may lower the Fed funds rates, but that
may send a ten year yield higher. We'll see. The
good news is J. Powell is doing the President's bidding
right now by stopping the runoff of his obscene printed
(39:29):
money anyway, I have a little for everybody today on that.
So the people that curse me out because I wasn't
hard enough on the president, and people curse me out
because I was too mean. Hey, you got a little
bit of both for you today. All we want, ladies
(39:50):
and gentlemen, is our leaders keep taxes low, defend the country,
fight crime, get rid of onerous regulations, get the hell
out of the way. Is that asking much? You have
a great evening, Drive carefully when you get home. Do
(40:11):
like we do. It's quite simple. Make sure you hug
your family. Make sure you hug your children. They will
feel better. You will feel better. I promise they will
be well. Have a good night, everybody, peace out, Bye bye.
Speaker 1 (40:22):
This has been Investor's Edge with Gary Cultbomb on biz Talk.
To listen to past episodes or to get in contact
with Gary, go to Garykay dot com. That's Garykay dot com.
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