This business. There are so many Different Things you need to balance in order to be a great investor that it can be hard to keep track of everything. Now, a lot of this stuff is much more important than the daytoday action in any particular session. This stock went up, this stock went down. Without the right discipline, the right framework, the right dare i say philosophy, youre going to get yourself into trouble. And thats why were all about discipline when we manage the travel trust for the cnbc investing club. Its why we constantly fall back on the rules, our investing guide to guide our Decision Making for every kind of market, and tonight, im going to share some of them with you. But i know that the big picture Financial Advice can be hard to process. A lot of its down right contradictory. Thats a keyword. We tell you to have conviction, to stick with the companies you believe in, and then we say you need to be ready to change your mind on a dime if the facts change . You need to
Apocalyptic. The house of pain. Kind of like a plague of locusts or a rain of frogs. Remember theyre not to stop smacking the space to the economy slows down. We are seeing above average job growth in all sorts of areas. It is like there is no slowdown whatsoever. It either looks like the shutter of the spine of traders who cannot stop this inflation. So here comes the october crash. But once youve pulled these numbers apart, the economy is cutting a heck of a lot of jobs, there is a lot less wage pressure which is what we really care about than we ever expect amongst the midst of this high. What we expect of Wage Inflation without discharge may jobs. That would be ideal point we just did not think was even possible. The bears did not think it was possible. Next thing you know, the average plumage down hard. Started soaring. These numbers could make it so that we have thats how the dow finished up to 88 points. Nasdaq pulled 1. 6 . House of leisure. It looks like we would have nice job
Flat. Thats one of the main reasons why this market has become so frustrating. Its a real threat to whatever bull markets are left. And the ones that are left out, boy, are they painful. The recent selloffs, theyre much more extreme than our rallies. We just dont have enough sectors with strong prospects, which leads to a shortage of viable stocks. Thats why the universe of winners is so narrow here. Even on a day when the averages rebounded hard from the lows, dow finishing off just 12 points, s p dipping 1. 3 . Nasdaq declined. 12 . You know as i say every night theres always a bull market somewhere but its getting pretty hard to find it. So tonight i want to talk about whats happened, about some of the vanishing bull markets, the ones that are at the precipice or tipped because you need to know how this business has become so darn hard. Whats causing these bull markets to move into bear markets . Is it Interest Rates, strapped consumer, into the postcovid heyday . Maybe a little bit
When the Bottle Market is in charge he wont make much money in the stock market because bond owners are pessimist, real glass halfempty guys and the bond market is certainly in charge right now. Today we saw exactly how pessimistic they really are when they overlooked very Weak Consumer Confidence data and averted eyes from a chicago report 17 month low. Both signs that we are making progress in the fight against inflation. Instead, they focus on a slightly higher than expected employee wage figure. The results, bond yields moved up slightly and the stock market got annihilated. The dow tumbling 570 points. The s p punching 1. 57 and the nasdaq plummeting. April 2024 will go down as the worst month for the dow since september of 2022. Good riddance. Now, on the verge of a fed meeting tomorrow that will no doubt show that j powell wants to keep Interest Rates up higher for longer because the popular perception is the economy is weakening. Notice i put it that way. Popular perception bec
Market is so ugly that you just want to get out now. I cant endorse that here. Up. 20 . Id be lying if i told you i feel great about this market. Especially, the forecast. Ever going to get those. Lets start with what i think is the real elephant in the room. Lets talk about the bond market. At its power bleeds into the stock market every day, and has been a bleeding in a bad way. How does it do that . When the government sells bills, notes, and bonds to pay for the deficit it weighs on everything. Considering the gigantic sideshow that could hurt your portfolio. You got to use 44 billion, sevenyear bond auction thats tomorrow. On top of todays 70 billion dollar five year note auction. Especially, on top of the 69 billion sale. Talk about cash is rook. Its gotten so compelling to so many people. But, they want to buy some of these bonds. Which means they often need to sell stock in order to swap out of that and into the bond market. You need a lot of ponders to come in, and by these bo