Bring me a slice. Good afternoon, everyone, im Charles Payne, this is making money. Breaking now, jay powell on the defensive. He spoke two hours ago as the fed deals with so many conflicting Economic Trends and there are concerns with the fed being too political. Wait until you hear what powell had to say about that. Learn the difference between hard and soft data, when will investors value value stocks . One year ago she gave you two stocks up 220 and 175 , one year ago today. Find out where sarah kunst is buying right now. Genz says they need 1. 6 mil to retire in style. The good news they started early. The bad news, they aint making much traction. Here is the question, how much do you need to retire comfortably and tweet me cvpayne. You dont want to hear my take on the wall street jobs report no matter what the print is on monday. All that and. More on making money charles there has been a hesitant start to the quarter. This is monster First Quarter. Lets look at the First Quarter one more time, put it in perspective. Large cap u. S. Stocks up almost 11 . Commodities, all kinds of things that went very, very well. But here is what did not do well, fixed income, bonds down defend for the First Quarter. Real Estate Investment trusts. That cre thing still a little iffy there. Those are the two laggards. Market did well in the quarter. Lets get a little bit more nuance because in the last part of that, the last part of that quarter, the last month Something Interesting happened. It wasnt the fab four. Fab seven, fab four, fab 2, whatever you call, they kind of faded away. What benefited was value, value overgrowth. This is a chart that shows growth overvalue. When it is down here, that means value outperformed. It outperformed very, very nicely. Here is the thing, value performing nicely, not getting wall street interested at all. This is long only funds right . So they have to be long the market. Theyre always buying something. Right now this is, one way of looking at value based on pe ratios. They are 56 less underweight versus momentum. So value funds, im telling you right now they are still chasing, chasing, chasing. Another way to check out value is some sectors. Two sectors, banks and energy. Theyre considered to be value. Significantly, significantly underexposed by longonly fund the. Remember weve seen especially hienergy stocks coming on. Seems like the main game in town still, is waiting to buy the dip. Everyone wants to buy the dip. In fact here we go. Right now citigroup saying, Everyone Wants to buy the dip. They have one caveat though. They said at this time around, if you look where people are buying the futures and things like that, the bullish flows are confined to the s p 500, not the nasdaq 100. So maybe, just maybe, this time the dip means not buying the mag7. Joining me now Slatestone Wealth chief Market Strategist kenny polcari. Kenny, right now the forward pe is pretty high. I want to show the folks where market is right now, forward pe ratio, it is pretty high. It has made a big move. Youve been looking for a dip. So my question to you, how big would the dip have to be because i know you dont like buying stocks at this level . No, listen, im wanting to see a bigger dip, i want to see a six, seven, 8 dip. I just dont think well get there. Every time the market backs up 3 , oh, here is the dip, buy the dip and it never gets a chance to back off. You have you have to look at individual names correcting versus the broader market. That is kind of where im looking. Am i chasing, am i chasing names on the upside . No, i wait until they pull back. Names like apple down 15 . Charles right. That is a stock that you know, it is a core name of the portfolio. So you buy stuff like that individually and that is kind of what you want to look for. Charles i want to look at some individual ideas. I want to get before that. You had two narratives coming into this year. Last year, i always remind folks this rally was sparked on the notion of seven rate cuts, right . Weve whittled that down to three rate cuts. Still the rally hasnt missed a beat. Now the narrative hey, the economy is strong. From you, from your perspective, would you rather see the market rally on weak data, that means more accommodative fed or stronger data, that means maybe the fed stays higher for longer but you do have the organic growth that can power the bottom line . Your second argument is what i want to see. I dont want to see the fed cutrates because what that suggests to your point theyre only cutting rates because the economy is weakening. That is not what i want to see. I would rather see a robust economy and leave rates right the way they are. Which by the way are historically normal. The market can function fine with fed funds at 5, 5. 25 . That is not an issue. I would rather the economy remain strong, job growth remain strong, the wages remain strong, then the market performs well if we leave Interest Rates here. Charles you mentioned apple and costco on the list. What is the names you like here . Costco is the name we own, the firm owns it but costco is in that space as things get more expensive people will be much more sensitive to price, much more sensitive to be able going out getting a bargain. Costco backed off 10 . That is another great name. So i think it is just finding a level now where it is going to find support but i think thats the story for costco, that in a ongoing inflationary environment that people are going to continue to looking for bargains and costco you know is right at the top of that list in terms of merchandising companies that serve that market. Charles all right. Kenny, are you buying any of the mag7 at all or mag eight, mag 4, fab four, whatever they call it these days . You buying any of this today . Apple, i said yes on the pullback, down 50 , why wouldnt you buy apple. Nvidia still trading still trading higher, not yet. It has to pullbacks more for me. Microsoft, not yet. Names significantly, and these mag7 names or the tech names if theyre correcting better than 10 you you have to start to look at them for sure. Charles i think so. That is what the segment is b everyone with deep pockets ready to dump on any dip. Kenny, last word to you. Right, thats the point, thats the point, we never get the dip because doesnt 3 we have to get in. Charles these days, down half a percent. Let me jump in this bad boy. Kenny, thanks a lot. Exactly. Bring in Wells Fargo Advisors svp mark smith. Mark, you were big on the mag7 names most of last year, beginning of this year. One thing we do see it was all about mag7, they deserved it. The earnings for these names were absolutely phenomenal. As we go you there rest of the year, towards the end. Year the other 493 stocks will outperform at least from an earnings perspective. Does that mean you should makeshifts in your portfolio . I think so. If you look at the mag7 theyre up 150 , 300 , some of them the last two years. If you were lucky to have these stocks over the last 24 months absolutely you should look to start to diversifying. At beginning of this year, i told folks should start looking at the financials, one of the Top Performing sectors in the u. S. You have also got energy. These are names not tech. Charles i want to get more granular, i read your note, the last few trading sessions should be a wakeup call, that wake cup call should be one word, diversify, diversify, diversify. Lets talk about that a little bit. Are you getting pushback on that . No. Charles really . Many of my clients, were up big, pigs dont want to get slaughtered right . If you dont sell at these levels youre risking not capturing the gains you had over last 24 months. Charles ringing the register is fun. Ringing the register is very fun. Have to pay the taxman. At but at the end of the day you have to pay the taxman. Many clients are saying where do we go after the mag7 . Financials are very promising. I will talk about financials in a minute. I also know you like gold. Gold making a huge breakout, this is a big time breakout. Im hearing 3,000. Are you putting a target on there or are you just comfortable it has got momentum and you like the rick reward . I think gold is great to be in every diversified portfolio for the track record goes back to jesus. Look at bitcoin the last 20 years, you like bitcoin did, why wouldnt you own gld as well . A lot of folks, a lot of talk around bitcoin, why not hold bgld. In any portfolio you have to have hard assets. You talked about financials. I pulled up the financials up here. This is nice breakout. Making a distinctin between financials names. Jackie insurance companies, regional banks or xlf. You have to go with the large u. S. Banks because there are some ways they make money, okay . From Wealth Management to investment banking. Money they make from your cashing every single day. Credit cards, Interest Rates i dont know if you checked that out 20 plus. Banks make money in all the environments. I like the large money center banks. Charles this is sew intriguing. You will not make 11 every quarter, right . Are you down here at this end, bonds . I have folks have been coming on over a year saying bond, bonds. They are getting hit pretty good. They have not rebounded yet. Yields up a little bit, real Estate Investment trust the, are you looking for this deep opportunity fore. If youre on fixed income you need bonds. It has been hard over the last few years, if youre a retired person you want to clip a coupon every single month, bonds is the place to be. Not all bonds are doing poorly. Corporate debt and preferred securities financials theyre doing well. I wouldnt paint a broadbrush over the fixed income market at all. Charles real Estate Investment trusts . Im not touching reits for a number of different reasons. Commercial is a huge part of many reits. I dont want to be near that space. I dont care what they tell me. My man. Thank you very much. Stay right there. Folks i have a question for you, how much do you need to retire comfortably . Genz has 22 grand saved up, all they need is another 1. 5 million, 800,000 . High net worth folks they may be unrealistic as well. I put it on twitter, i like to get from you, what do you think is more realistic the goals of the genz group or the High Net Worth folks who may want too much money . Well get into all of this with taylor riggs. She is next. vo what does it mean to be rich . Maybe rich is less about reaching a magic number. And more about discovering magic. Rich is being able to keep your loved ones close. And also send them away. Rich is living life your way. And having someone who can help you get there. The key to being rich is knowing what counts. Hello, ghostbusters. Its doug. We help people customize and save hundreds on Car Insurance with liberty mutual. We got a bit of a situation. [ metal groans] sure, i can hold. Liberty Liberty Liberty liberty in theaters now. Is bad debt holding you back . The only limit is the sky its our time you dont want to miss it just a little bit louder its our time you dont want to miss it its your moment in the spotlight all your ambitions. All in one app. Low fixed rates. Borrow up to 100k. No fees required. Sofi. Get your money right®. Her uncles unhappy. Im sensing an underlying issue. Its tmobile. It started when we tried to get him under a new plan. But they they unexpectedly unraveled their price lock guarantee. Which has made him, a bit. Unruly. You called yourself the uncarrier. You sing about price lock on those commercials. the price lock, the price lock. so, if you could change the price, change the name its not a lock, i know a lock. So how can we undo the damage . We could all unsubscribe and switch to xfinity. Their connection is unreal. And we could all unexperience this whole session. Okay, thats uncalled for. Charles all right, folks its a big election year. We always know that the economy is one of the top, if not top issue but check this out, this is really crazy. The change thats happened about who says the economy is their top issue, look at this, young folks, young voters, 18 to 29, before in the last election only 11 . Almost half say that right now because they know it is very expensive to live. They also know it is very expensive to retire. Americans actually overall believe they need 1. 46 million to retire comfortably. This is northwest mutuals annual planning study. That is up 54 from just 2020. Unfortunately look at that little blue bar. We have only average of 88,000 saved up. Lets break it down a little bit differently. I want to look at different generations for you. Genz they need 1. 86 million. They have only 22,000 saved. Give them props, because they saved in 22 but boomers began at 37 years old. Everyone is million miles away from their target. Especially High Net Worth folks. Lets put in the big money shows taylor riggs. Well put the table up behind us. Everyone is far away where they are, genz only 22,000, you can scoff at that a bit, but at same token, they started 22 years old. They expect to live to be 100, 30 of them. Im not even sure 1. 6 million is going to be enough. What do you think . I dont think so either, there is no way. What stands out to me, boomers think they dont need a million. That speaks to the difference in psyche. How expensive things are, the affordability crisis. Im a classic millenial, graduated in 0809. The world falls apart. There are no jobs. I have no money saved, now coming up through that, you start to see the light at the end of the tunnel, if im a millenial, maybe i need million 1 2, million seven to retire. Charles right. Boomers dont think that. All of this, i think genx, millenial, genz, affordability crisis theyre nowhere saving what they need to be. They cant afford anything. We think we need a lot more than maybe we do. Charles there is something to be said for positive thinking. Northwest says High Net Worth anyone with a million plus. Okay. Charles right now they think they need 3. 9, three million, they will be balling. They might be balling. They have only 172,000. Maybe he have this the most unrealistic numbers there . I think what really speaks to me is the amount saved. Actually now is a good time. Remember fed chair bernanke. We were hating on him. We were saving money but not getting any money for it because rates are zero. Now is the time to save. You can put the 5 cd. Charles put a table, northwest says pump should put away monthly to reach their goals. I got to go till, maybe some people the numbers dont look like a lot, for some it does. 382 of if youre 20 years old. In your 20s. Thats a lot. I was living paycheck to paycheck in my 20s. Barely paying rent. I didnt have a car payment. If you have student loans, cars, trying to save for a car . Charles 380 a month is a lot less than 4500 in your 50s. You want to get started sooner rather than later. I want to ask you abouts h the market, were running outed of time. You always say time in the market not timing the market. Average hold in the market is six months . No. Youre killing me. Charles the market has to play a big role in this. It cant be 401 k alone. Even the report says the 401 k alone isnt enough. The worry about coming in and out every six to eight months youre not getting compound return f you bought in 2008, you held on to it, we doubled our money. If im getting nervous, coming out every eight months, short term capital gains, have i reroad ad lot of my savings . I say that stick with it. Charles in 19 offs, it was eight years. Now were down to six months. Folks are watching, this is something youre passionate about, what is the main message . Listen we like toe retire comfortably. I love the robinhood idea of demock aization of finance. One year in, ride it out. As you said you bought nvidia back in the 90s you would be looking good. Charles you would be looking good. You would already check all the boxes. Retired. Charles thanks a lot. Really appreciate it. Check out taylor and the crew on the big money show every weekday at 1 00 p. M. Great stuff, taylor. Come over more often. Im here. Coming up Economic Data out this week. The big one friday, jay powell speaking a couple hours ago. Well break down how to navigate this because it impacts your portfolio and policy. Well be right back. To me, harlem is home. 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Then of course there is the big Economic Data out on friday but are we looking at the right data and is the fed looking at the right data . Lydia hu is here to break it all down. Reporter charles, that is a question were all asking ourselves. We heard jay powell speak two hours ago and fed governor Michelle Bowman and michael barr. The adp jobs report came in stronger than expected. Were seeing big job changeses, construction, Financial Services let me get my highlighter on, Financial Services, manufacturing. But what is standing out to everyone was the big jump we saw in wages. Pay is really heating up. Pay jumped up 5. 1 for people that stayed in their jobe. Job changers seeing a jump by 10 . Construction adding a ton of jobs, 33,000. 5. 7 increase here, the largest increase just as there is a big bounce in goods producing jobs. Charles we also got the ism Service Survey out today. That came in below consensus but when we peel back the layers here, some of these comp