Share This Episode
The Steve Noble Show Steve Noble Logo

Biden's Stock Market?

The Steve Noble Show / Steve Noble
The Truth Network Radio
July 20, 2022 10:43 am

Biden's Stock Market?

The Steve Noble Show / Steve Noble

On-Demand Podcasts NEW!

This broadcaster has 696 podcast archives available on-demand.

Broadcaster's Links

Keep up-to-date with this broadcaster on social media and their website.

July 20, 2022 10:43 am

Biden's Stock Market?

Steve has Steve Lewis from Lewis and Associates Capitol Advisors on to discuss the stock market and how it will affect us.

Our goal is to apply Biblical Truth to the big issues of the day and to spread the Good News of the Gospel to as many people as possible through the airwaves as well as digitally. This mission, like others, requires funding.

So, if you feel led to help support this effort, you can make a tax-deductible donation online HERE.  

Thank You! 

Running to Win
Erwin Lutzer
Summit Life
J.D. Greear
Finding Purpose
Russ Andrews
Cross Reference Radio
Pastor Rick Gaston
Running With Horses
Shirley Weaver Ministries

The following program is recorded content created by the Truth Network mobile show you why your whole work.

Steve is an ordinary man who believes in an extraordinary God on his shoulders.

Great true no sacred cows call Steve Bell 86 34 true 866-34-TRUTH or checking out online, Steve Noble now here's your host Steve Noble. What a man is 12 kids.

That's the question today to tackle a success just getting onto the: a good man a godly man, smart man, a busy man a more bad and more meant more of a man were amended somebody for example, that only has four kids that what you're getting. Why did you have more okay so this is Steve Noble. As you know, and then Steve Lewis back in the house. LA capital advisors a long time, long time.

You must be wanting ratings wow that's also your little punchy today.

So speak little background here. Steve and I have been friends with our wives as well. Gina on my side beyond Steve side up as Lord and so when did we first meet, so I was doing radio and you were doing your own radio show on the truth radio network. The financial greenhouse, the financial greenhouse really that on Saturdays. Yes, this was way back to the studio that was in North Raleigh at the PNC building out just like a bank. There is a bank downstairs on so that's back that we might be talking 2014 2015 I went into syndication in 2016 and I switched studio I went downtown Raleigh then came back about so so then we did some money Monday stuff together. We did, which was 2015 2014 something like that us women friends for a long time. Why are we still friends because of her wife's because otherwise very good. Very good answer, so Steve and I can't stand you right well I mean, who can your wife is nice but you're right. She says yeah you got the problem we ought right I will I will always myself as a gentleman on right, that's for my are you kidding me as a gentleman live here, you gonna follow the king or your wife to stop. She happens as good as you did last time we got to how your house are you This is Steve Lewis LA capital advisors, a dear friend of mine at a brother in Christ, believe it or not, I'll testify to the fact that is actually born again great wife 12 kids for that by the end of this year. Four of your kids will be married, which means you're betting 333, which makes you a lot of money in the much major-league baseball players Association.

Whatever thoughts good and is is good to have you back on and have been too long, so please forgive me as long. Next is been two years.

It might have had that will exculpate you 20 as one else, so I Steve just file cards on the table.

Do you guys know David Fisher and David on Mondays and so just and David Fisher has his is a wonderful blessing.

He helps us the meaning noble family when it comes to some of our diversification into precious metals. Steve handles the rest. So is not like to some dude that's a friend of mine that happens to be a financial advisor and an excellent one at that. He actually assist the noble family okay so they're all my cards on the table, but Steve is brilliant and we have to make sure we cage that is you and you don't help me what's right I don't help you whatsoever.

That's not my job and arrangement and and when you start slipping into financial speak or too many acronyms all politely and rupture that are right that we go to that. Okay so let's that's actually try to get serious. So weird. What we want to do today with Steve is, look at, where we have been coming out trumps presidency and going in the Biden in the stock market meant we were all so happy 2020 rocket and I mean it was making money all over the place where you have a small counter medium-size a counter big size, then he got Biden coming in and I member we are talking about that at the time Steve's politically astute as well and we have these conversations a lot just about worldview things and and in politics as well as the financial world get in the Biden administration.

It's been a crazy two half years as it is at the 2 1/2 years you would've expected coming out of trumpet and divide. No, I was hoping that he would've been a moderate SU when he was a senator right him. He was pretty quiet behind the scenes with the present Obama so you really can't dictate or think about what he would do right.

Think right and what happened was generally seen him in the captains chair.

As you said, and there was a sense of optimism. I'm in at least half the country. If you take those books is legitimate and okay and so what happened after that is so just a slow bleed. Beginning in the fall of 05, except in September of last year when we began to see the lag time after the executive actions on energy that is it's come back and haunt us in economics 101 is that if you increase the cost of the transportation of goods right you going to see the different everything else I got a train at the point-of-sale right right and then everything else just collapsed from their from trade and different things of that nature. And so whenever any doesn't regularly whenever Biden blamed for everything because of the question today on for the title is show is it's a Biden stock market? He likes to think it's Vladimir Putin, stock market, what were on a lot of conference calls a lot of conference calls with a lot of mutual fund companies and etc. and no one believes that that doesn't come up anywhere you even reading them numerous comments on these WebEx's and different things that we are part of its it was all based on those executive actions and we were in energy exporter. Yeah, and I was just the opposite in Oak sure Ukraine didn't help in terms of materials and fertilizers, and some grain in there, but oil had nothing to do with it. So there's some companies that have done well on the stock market since Ukraine, Albemarle, for example, special chemicals or luxuries and things really niche things that are specific to that region. At this together sweetheart ETF W VAT. Ironically enough it now so there's some things of that nature that has some people try to take advantage of. But overall, it all starts with energy and nothing starts with the right supply chain issue so much we had, of course, as regulation shirts with shipping and out there out west along with certain things like that and truckers.

A new law in California with the truckers and how older truck is and not things of that nature. So is on the lot of things that doesn't make the media that we hear on these call sort of analysts and so our job is just to know really hindsight we should've gone into cash in September but no algorithm was such that it was giving us different signals. He still had a good Q3 GDP. Yet we were looking good.

Note that your core GDP.

Unemployment was falling participation weight response was rising that all these basic fundamentals that all looks good.

All looks fine until the quarter. One GDP came out in March and is always two revisions following that right in a Revised twice downward now on the 29th of this month we have quarter to GDP you never talking for the show.

If that is not good right it's going to be a train to be a big train wreck big mass in the stock market.

Lots of red and and I don't see that ending anytime soon by likes to say member.

They would never they said it was transitory. Steve this simply things transitory. It's not a train wreck of the beholder while yelling got it wrong yelling got it wrong again said that caveat is a lot to unpack here but working to look for some help as well.

As we move forward so that we can all be better stewards will be right back noble show today with my buddies Lewis LA capital advisors LA capital is his website and we been friends for years of dense radio together.

He actually helps the noble family out with our investments and so I trust him and that's why he's in here beside me. My brother in Christ, and so were just trying to get a handle on understanding what in the world going out this crazy stock market starting at the end of the Trump era and then into the by Nero which we are hopeful thinking maybe it's the Joe Biden from years gone by, and he's a moderate but is anything but over liberal and then there have obvious he trying to transpose the entire economy into their green new deal which means get a train wreck. The energy system as it is now and I and you said this on the break. That's their worldview. If this world is all you have got to save right that so we gotta be a champion. We gotta say I actually think that's how they justify themselves if they're not going to Christ for justification to turn to themselves and this is the way that they can pat themselves on the back pipe in their mind taking them to save the world. Same thing with the great reset people in the world economic forum will seem essentially lost and so we should be surprised by any of that. But when he turns around and hits the stock market and in our investments in our savings and us trying to get to the point where were the people that can retire me and it's been just wild right here seen anything like this in all your years doing this when I got in industry 2000 2001. The tech industry yet was pretty but it was about 232 negative trading days and two years is just a long bleed. Note tarp was quite easy. That dip was easy. We got out there coven was easy him and Helen Keller could assume the dips right and it was pretty sure we are pretty easy to see if this was a different and and you know it is a combination of a side was Mark 1118 member 18 was pretty sideways. John, the feds raised rates for trying to because economy was so good right and no inflation right will hear they've done it four times because economy is bad and because I it's a tough thing to understand why they would do those types of things.

I know Trump was quite upset with the fifth German sure what time you and so we are writing this way right now and trying to find where the dip is and what were doing again what were concerned about his upcoming announcements in the next couple of weeks and just hoping for some good news what's coming out speaking announcements.

What are we looking below the 29th are going to have their gross domestic product number last last month. It came back -1.2. I believe in that range and was advised down is always two revisions following the national announcements which always echoes me in those came down what you hear about the revisions right to the first looks like it's all the new sure and then we have the federal rate German pals going to announce an increase and as of this morning.

The consensus is 75 basis points. Probably not 1.00 but 75 basis. Yes and GDP. Most likely is going to show negative well who really knows because it who really knows if it because I know that shows --2/4 of negative which means officially the big dissident live. The Atlanta feds Artie said you were in a recession will the Fed chairman and consensus of the folks that we speak to in the back of their mind they wanted to be a recession so it justifies their late coming to the table with the interest rate in Christ because people thought the should've taken place last fall right here and so they been under a lot of lot of criticism for raising these rates to late to the party so to speak, but there are some people out there. You mentioned this before, that actually say you know you were just about the bottom what your reaction that I was hoping for some good news last week on the month over month called MOM. We call it that, on the CPI, the consumer price and it didn't go it would jumped you got work as if it was just below that are in 7.17.0 or 6.8.

It would been a good recovery in that sense because you're seeing some pretty good movement in the consumer Staples products and and that's what we been kind of putting people in. Even investors business daily utter slot.

The stumps himself. We talk about interesting is that people are still buying things there still sharing their lives sure.

You're trying to find ways around these things. Theaters are people anxieties are high, yet they don't they want to deviate from reality. Our couplers are going to the movies yet here right ethics posted 960,000 lower subscribers yesterday and the market he retracted 600 points just because of that, so it's it's all over the place. Monday you know Monday was was open up a 300 and because what Apple indicated were going to reduce our labor reduce our production retracted 650 points. Goldman Sachs reported good numbers that would just would jumped the market. They added their reducing labor as well and that added to the apples numbers and so yesterday hope Bouma jumps up 800 points and have headline on CNBC that institutional investors feel that were at the bottom there's no basis for that SOS arrives that when they do that kind of stuff. I think theirs is begging to write as you told me that I was like, what, how can I possibly say that right. I don't really know what were saying a lot of opportunities.

I mention Kellogg's, General Mills, craft, Hines, Costco, Walmart. Some of the Staples place in the paying really good dividends. So were buying some of those that with some of the cast were going and very, very cautiously were going in, averaging in slowly and seeing were those that have been very careful but most are still in cash because if you buy what MSNBC said and you're like okay that's the time to buy in six months from now you could be in a real world of hurt will Barron's investment news at the periodical comes out every week at the supermarket and really met you puts in and of overseeing a lot of the institutional investors going back in more than we seen before.

So there is some movement on the institutional side high net worth folks going back and probably looking at some buying opportunities and so forth and some good news on semi conductors.

The Senate passed a semi conductor.

You will feel that others can be put in some more money and chipmaking because were to reline in China just only Trump always said yeah I could get past that Jeanette yet so time I takes you a year to get a car like that of Taiwan has a good ETF exchange refund TSM so this a pretty good things in there and would you say those goodbyes in the stock right now.

G OOD BU what goodbyes in the stock market are like finding a needle in a haystack. Yes again.

Then you have to think of the announcements because the NASDAQ does not like increased rates announce that they always always get upset with and so that's why were holding often really being careful in the next couple weeks.

I mean if it's decent news say one over the other. We don't see the negative GDP so we have a good right to be better managed to both are going to be no if you add those two together increase rate plus a GDP negative. However, if it's increase rate and a positive GDP than that's got a pretty good it up.

Give us the momentum there to see something you gotta go once. If you're out you gotta go on slowly. Yeah, I mean I don't see hundred and being out for most people is cash right and but unfortunately time of this before and I make sure everybody understands that should should everybody be asking their broker who is talking to me what is that you have Apple what that's really obnoxious. Should everybody with a stockbroker or financial advisor be asking them about hey what about what about having some of my portfolio in cash.

It's very rare icing number people in the office with advisors from fidelity and so forth. And when I saw unfortunately back in early April. He was already down 31% while and I said hey you, you gotta get this thing in cash and so you will you talk to him and I texted him a couple weeks later says that's their position. They don't they don't sell the cash.

I said what your money and she says well you know yeah well you know and that's the challenge now. We talked about this for as long as you and I've done some radio together is this isn't your is your grandfather stock market investment advisors are in the same thing for the last segment adjusting third-party money managers, and have no autonomy right and the client does not know that you yes other kind of like puppets right CR. They are literally literally puppets with your money if they receive those guess that you get that you know you'll know as soon going well grace and your ability. Did you know that some Johnny Cashman to get with it. I welcome to the Steve Noble shall built for overachievers by overachievers like the C4 energy drink that my good friend Steve Lewis brought into this day. Today, the Peet's coffee and the Peet's coffee in the officials let alone coffee mug yet so you're all jacked up and ready to go. That's good.

Steve Lewis just just been a blessing our family on brother to brother level on a friend level and adds some and helps us out financially and supervisor level Steve Lewis Kelly capital is it because you're in LA kinda guy you were born in California right it's lose your sales as you get it right. Sorry about that LA capital and Steve's website and and this is kind of funny when were talking about in this kind of environment that were in stock market. Not pretty, very challenging times probably recession.

Lots of inflation we haven't seen this type of the mass since what 1981's been 40 years and now were talking about alternatives to try to get your boat out of the wild waves of what's going on market and then you're looking at things that most people don't ever consider in this sounds old-fashioned cash and then like bonds and even CDs. I don't know that anybody under the age of 45 even knows what a CD it insults about why we talk about things like this because it sounds really old-fashioned low rising rates to have their advantages write much in bond funds well you get a nice dividend humming black rocks short treasury, which is about to get exciting as watching a snail move across the drive is pending just under a 10 dividend right now and that's phenomenal. That's crazy. Yeah, before all this. It was a 3.1, that you would even pay any attention to now when you get a rate increase. These things will normally take a retraction in price. Another not highly deviated equities are pretty balanced to me when the regulators look at these types of fan I don't know bond index. These types of things they want to send a check at the conservative investor yet for them to see they want to see those things and so right now people are chasing dividends. But you know when the dividend goes up the price of the bond will come down so TIP will fall a little bit and it will always recut the recovers from this. It has since the second week in June when we started to see this trend line going up and so were were a lot of our accounts and types of bonds like the bankers got a good one and different things of that nature and end over chasing dividends from Kellogg's and General Mills for your average investors hastily seen the last five or six years in which a been largely good, like how is it confusing because were in this learning environment. Like I said, we haven't seen since 1981, for goodness sake. A lot of people don't remember 1980 writer 79 write to long ago right but brutal. That's when we really have to get aggressive in your conservativism as I write right and so bonds and then what about CDs like I would think like a bank CD.

While these be called certificates of disappointment that was another name form, but now in a two year and get a 3.5 in two years really a one year is 1.6 to 1.01 .66 month 1.6 right now and if your state if your investment portfolio is down 30% this year, which is a good chance this a 1.5% increase over six months or year looks pretty darn good right oh yeah they got Kylie's a lot a lot of people are still sitting in cash from 08 while believe I got some clients who haven't moved since await still in the banks of corporate bonds are paying a coupon of three, 5 to 5.5, which is pretty good yeah and if you're in high tax state in your text renews municipal bonds are good options. Should everybody be conservative right now in terms of their personal investing or is that a sliding scale as usual with age. If the client knows that you are managing your account on on their best interests.

The client doesn't really care that make sense. That's because the buyer in your world, your if you do share the big well we ever you have to act in your class as that is loosely used. Even with the folks were talking to who use these third parties, but there still buying holding these people rent different if you're buying whole person of that's the strategy of your advisor, which they should all ask if they haven't been put in cash now and they were in cash in coven. I don't know. I don't know what to say but then you need to you need it really nail it down and stick with them is typical bond fund. Really if you look at the annualized return of the S&P in the last 20 years, from January 2000 to December of last year. The annualized legitimate geometrical average of the S&P 5.36. Yet, while not as sexy as it goes across know because, again, are all talking about total return on the radome all the markets down 22 notes worse than you really so all these grass in front of you is all total return stuff, but it does give you some trendlines to look at and you'll see here that you know the only thing that's up is energy everything all the other 10 sectors are below the mean of the S&P I'm real bad. It is looking at the chart there zero, which is the mean and I know I sound every one of these sectors in information technology its care to/5 year S&P 500 lost one in the bunch right now. That's a train wreck S&P 500 communication services consumer discretionary consumer Staples energy that's the one, the one that's up above the line financials healthcare information technology, materials, industrials, real estate, utilities, all in the tank all literally right and so how do you find anything in the regular stock world 12 working on the loose, people listen. But we went ahead and shorted the Dell meeting. I combine exchange traded fund that I gained what the Dow loses right was called shortly sure that your you you are playing the offices alerted by the ocelli right now and you short you go the opposite right and so we did that with folks with taxable account, you can't sweep without paying ataxia to buoy what they might be losing on the other side and so it's it's helped a lot in stabilizing the losses we seen that at this point because we know were still trying to stop the hemorrhaging you a little bit because something comes out and you don't know what's going to go should should we as your average investor and most of people listen the show are Bob there's very few wealthy people. There's very few people actually rich, most of us are just an average should we be as concerned as you sound with respect to our investment. Where's your retirement money should we really be more at really pretty active right now and asking a lot of questions.

We talked about this over the years that hey, if you're not at usually asking tough questions of your broker your advisor. This is a 1985 anymore. You don't just buy and hold, and leave it alone is Dave Ramsey or any 10% of your no matter what hits the fan, and now I it sounds like we should all be much more involved in much more concerned I don't sound. I think people know to ask because I think that's the norm.

They got that baby from their father and their grandfather yes got a hold on them. Microsoft until Jesus comes back right and that's a lot very very very true. Very common, but with today's volatility and there's so many more things to work with you on having just traded funds back then as more companies involved. You can trade with over in Europe and China. We didn't have those 30 years ago. Yet the Dell 30 yeah that was it standard bore 500 and act all busy switching out so many things to work with now, but they should be asking the questions, but they're free too intimidated to. I don't know what it is but but still we had people in cash for 50 you 50% for most of the year and numerically look at the statements and somehow that the what's still in the market is falling yeah that that that to us. It bothers assuming we are at the office as early as six we can early start trading at 4 AM. More stocks, boarded six more come on at 830, then everything is on board at 930 so we get in a little early to try to stay ahead of some of the trendlines but no recent trendlines look bullish at at 6 AM in the morning and open up in a like what happened right yeah I just went to the bathroom and it's down yeah big yeah so it's really been it's really not much else and much of the institutional side deriving things just automatically drive all the time all the time.

Based on what adjuster algorithms what timing. A lot of it is is Wednesday insider trading, but they they they will run a price up. You know what we should do. We should just we should just find out what Nancy Pelosi and her husband are doing. It was an ask a question or she was asked a question. Recently, what her husband bought was a semi conductor thing under something ahead of the semi conductor law Senate lisinopril yeah and she and he bought a bunch that had you a week ago you you but I don't know anybody in swamps of pasta. That stuff Trumper's deep inner something like that. Richard Burka was caught up in that little bright right 50,000 or so all that for 50,000. Yet nothing compared to the Pelosi's who are like Bernie made off.

I guess it's really unbelievable.

Is there anything you think that the by demonstration can do, what would you advise them to do.

I would go back to what Trump had on energy and and stick with it until the clean energy is what has more momentum there, the note was on Fox. I saw this morning. Average EV is $66,000. Yeah, and nobody was pointing that out in a Senate hearing.

I think yes or is a Buddha judge. Yes son is yeah it's it's a leader like to if you if you charge for cars, it's gonna cost you more. It's cheaper to just run the air conditioning or something like that. He put it in real simple to yet another EV company being built in Cpl. been fast coming in in their merit their carbon Pittsboro 7700 jobs in the crowd really got 1200 apartment I could build a Colonia and that there not an IPO, yet they're not a major player but you have a lot of Niall Lee, you have test so you can then everybody's getting in their overall pretty shocked about Toyota why and still making hybrids.

Oh, and not leaving that field interested in. It is kind of interesting, well you that's emerging technology and want to talk about that. I don't want to break to get Steve to write down some questions that any of us should absolutely be asking this type of environment when it comes to your retirement when it comes to your investments. This is the noblest Steve Lewis LA capital to Steve Noble this is noble, so here is my buddy Steve Lewis LA capital is the website LA capital By the way, if you want to talk to Steve yourself, you can email him S.

Lewis, S.'s email address. S. Lewis LA capital If you have questions, you will follow-up or find out you will get some parenting tips on how you raise 12 kits you can always do that. Although, will you just push them over to fear how you handled it like who's the brains of the operation for the comes to parent. The is the prince. Period. Period. Except for this she don't have a clue when it comes to financial things. That's all you.

Although their ideologies are. She helps when I write the articles. She's an excellent writer. She's a really good right yeah rule she feels a lot of the really helpful I really appreciate your emails. You kick him out pretty regularly and even for a an average minded bloke like myself.

It makes a lot of sense helps me understand the madness. What's going on around me so freaked out. It's been really helpful. Oh, so thanks for this.

You are welcome. So you're welcome. It's a nice change of pace. Anyway, let's let's talk to Steve and I are pretty good friends can schedule let's talk about PPI PPI producer price index is the wholesale price index as we have inflation that we all know about right.

It's a .1%. That's 9.1%. But then there's the PPI which is actually worse.

What we can't hope until the PPI comes down producer price index what they're paying what they're paying to create the things that we is not art our consumer price index. CPI is not going to move until that starts move right in here makes perfect sense. There is right here you go on and pull this report at any time you want your this and so you just start you can see that that it's what 11% yes total is 11.3% right.

Which is worse than what you think and divided up or one of those two categories you have any get goods which is up 17.9% yes so they're paying 17.9 services more under 87.7% right now that together to get out. Yes, so all that stuff then flows downhill to us right so when so if there's goes up. Ours goes upright and are they going down until there's will truth be told, is a lot of people raising prices because they can't because they can't write.

We call that price gouges, a lot of industries is not related to this letter just taken advantage right next services online services and things are just jacket because they can't because they can't write so we need to be on the lookout right we need all be kind of paranoid a little defensive.) That's why services really not near a 7% yet but it should even be that right because online services aren't using diesel trucks in right but that when you're buying product and that guess what, how do you think that Amazon guy gets to your front door with two packages today. They come by planes, trains and automobiles and all those things run on sorry AOC gas and diesel, which is why the energy sector. Such a big deal if a drone service in Holly Springs right now today really dropping the food off. Now get outta here, up to 2 miles away.

Welcome to the jet single thing you chestnut.

So what what would change what he is earning. You can look at out of out of the horizon that would see the producer price index start to flatten and then to execrable if if gasoline levels off and seems to be in this number month over month will start getting smaller. Yeah, but are sustained price that the checkouts going to be the same.

So that's how we have to look at because it is a lag there right now there are some lagan and in this category right here and so what to do. The manufacturers put anything out. Are they saying here's what we things can happen in the second half of 2022. Note they don't go there. No, because are missing, you could have their own projections of worry about it so there's either understory there. They are backing off on the projections and were not lowballing here and they look at the next court, but if I wanted to do nice to this question are Biden. It felt like to do anything. It's reenact the Trump energy policy.

In his approval numbers will write up drill baby drill racking offshore everything get all the regulations I like is really going at least of the villa is not the least that's the problem with all the regulations that you scroll through and once you get the lease correct, yet all night and have a cease. The private lancets that authorize federal is within their they will allow the federal permits to go through right now is Jackie how he did it. Yeah, you took criticism going federal lands in the Gulf and out there in the waters, allowing you to get drilled right so they can say were making leases available right but it's like hey I'll say a car cool when can I take session 24 months yes to the fact that I sold your cars relevant right what really matters is when can I actually get into anything with it. And so that that's really the whole thing but again we talked about this earlier. You just keep your aunt now will all this change come November, is that the Republicans are going to take the house and will see if they take the Senate.

But even if they take the house.

They neuter bite credit they can't turn around and affect all the stupid executive action is taken right but I don't know that dear are you paying attention that the political side of it. What happens in November. Right now I'm not. I'm just concerned with what's in front of you what's going on where nothing else keeps a lot kiss me up at night. Now I'm just were just were in their surly sometimes as early as Frank yeah that's crazy and and were there until almost 8 is trying to minimize the damage for extended trading allows us to trade up until 7:57 PM while so just want to see really what the momentum swings are going after that, you know that I might be a good question to ask the people that the rest of everybody hires to watch the monies which time you actually spending watching my money I meet is is a full-time job or is it not like this. A lot of advisors who oversee law firms this happen in on everything our walking her dogs and renter guy for fairly November. Yours is a big firm in and they use RBC Bank as their third party, and so we will chitchat little bit when my wife was talking to his wife and stuff and he's in the business for a lot longer than I have and I told about extended trading hours and he said look to him is an audit of the market was open 24 hours eight. Is that what I said but he that you can't start trading till 930. I said you not extruding traits is no RBC does it all for us and that's the problem. He and I sat next to a guy who trades with Raymond James Perry steakhouse same thing. Large book large book good nine figures well and hasn't sold anything. Nothing. No, his firm done 120 million and he said the clients haven't said anything whatever and I said so, are you discriminating first trust is putting on the dinner and he settled in here because it's a free dinner rights revealed by said you have any authority.

This is no heartbeat Raymond James.

They do everything right so that takes is so is very common, though it's sad at this are very calm, talking to Steve Steve Lewis again LA capital advisors LA capital is his website, but only if you want to email Steve and have a conversation that's entirely up to you. His email is S. Lewis and Ellie capital so let's let's finish with this. What are some questions that people should be asking their broker advisor just can't see where they're at in this crazy volatile environment that were in so they think they should ask them what autonomy do you have a man looking at you cross that you actually make a trade. Can you initiate it. Can you turn around and login and can I buy 3M or IBM. Can I let matter when we want to know that we want no Kenny Exley change what I'm doing right now if you want to report reduce your technology footprint in your portfolio up to the upcoming an interest rate announcement that's were going to see my say will know Raymond James makes all the decisions for me, I'll say yes. All will do it all.

Call it intercept like that he'll help hunt on it, but most of them have never been trained on how to execute a trade you don't know what you know you that's pretty scary to me. And then, so there's that what what about gloves before asking about lower risk options. Equities that pay dividends as a dividend work but dividend it depends on where the dividend comes from comes from either margin aboard money or comes from the earnings and that's you really need to look at that little dishing out a little yet handy to gastric.

Yeah, you don't really want dividends being paid from debt but is very common, very especially on the smaller what's called small-cap stocks and mid-cap stocks very common. You really want to come off the profit line little bit and so and and that's why the bond funds are doing swelling dividends right now because they know they're going to have the mark upon the on the yield of the treasury know but still we need to talk about invert inverted yield curve. We can talk about yeah and in an inverted yield curve is that when the shorter duration.

Note 5 years is paying a higher yield than the 30 year that's been inverted all week. Now we had a back in March we had a back in late April yeah and it just destroys your Valley stocks that pay dividends, and a host of things and so another is a five-year note, I think it was Monday was paying a 298 yield the five-year note, but the 30 year was at 279 while in so instead of a sloping right yield you want. It was inverted over them and then we had to deal with that and we saw big reductions in these charts over here back here that is late June or late April early June which really without what in the world is going on now, we've never had the inflation and then the inverted yield curve like that you been so if that's what you think and be safe so they can as you say fun and equity, but to create balance in some dividends and stability.

Barclays felt the worse it is his overfill and and BlackRock's history, while really lost almost 12% and even the seals a while we've never seen that scary stuff. So yeah so we have to dodgy things that we didn't see coming right yeah very very challenging and then and then last but not least, ask what's your position on cash.

Why do we ask that question because it's funny you know get get your boat get your sale out of the store until we see some tapering in these PPI indexes yes CPI's and the inflationary stuff and all these different things. I think just going very very slow okay to be say there's no hurry to get in.

Yeah that that's I think that's a great point to end the herd is in no hurry to get it right in. Despite what you might hear an MSNBC or whatever, there's no way anybody could say this is over because it is too premature it's too premature and until Jill Biden in the bite administration and his liberal Congress changes energy policy.

I tell you, there's no way to do that has to change doesn't that you would start there you would start there and willing to start there, then we can't be all rosy so be very slow and be very cautious at those questions. If you want to follow Henry her Godzilla control. Yes they got he's got this still rules the universe was all financed by the Pirates were he still has it right. So you have to work. That's right, this is a temporary setback for all of us that are in Christ. S. Lewis and Ellie capital thanks buddy for covenant to Steve Noble and Steve Noble shall, God willing. I talked again real soon and like my dad always used to say ever for another program powered by the Truth Network

Get The Truth Mobile App and Listen to your Favorite Station Anytime