Thursday, March 28, 2024
Homedigital marketingThe Stock Market Is About To Go Wild | DO THIS NOW

The Stock Market Is About To Go Wild | DO THIS NOW

Go to http://www.getroman.com/Graham for $15 off your first order + free shipping! In just the last week, it was revealed that The Federal Reserve is preparing to taper their stimulus, the housing market could be losing steam, mortgage rates are beginning to trend back up, and Cathy Wood defends her belief that the market isn’t in a bubble – Enjoy! Add me on Instagram: GPStephan

GET YOUR FREE STOCK WORTH UP TO $1000 ON PUBLIC & SEE MY STOCK TRADES – USE CODE GRAHAM: http://www.public.com/graham

NEW BANKROLL COFFEE NOW FOR SALE: http://www.bankrollcoffee.com

DOWNLOAD MY NEW FINANCIAL APP: http://onelink.to/the-hungry-bull

JOIN THE WEEKLY MENTORSHIP – https://the-real-estate-agent-academy.teachable.com/p/graham-stephan-mentorship-program/

THE NEW PODCAST: https://www.youtube.com/channel/UCMSYZVlQmyG8_2MkIKzg0kw

The YouTube Creator Academy:
Learn EXACTLY how to get your first 1000 subscribers on YouTube, rank videos on the front page of searches, grow your following, and turn that into another income source: https://the-real-estate-agent-academy.teachable.com/p/the-youtube-creator-academy/?product_id=1010756&coupon_code=100OFF – $100 OFF WITH CODE 100OFF

THE TAPER TANTRUM:
With inflation coming in higher than expected, the Federal Reserve is backed into a corner: on the one hand, they initially told us that they weren’t planning to REDUCE their treasury purchase until 2024…but, on the other hand…the economy is heating up faster than expected, and NOW – they might start tapering off as soon as the end of THIS YEAR.

The result is that – IF that happens – The FED will start boosting the economy a little less…Treasury Yields won’t be artificially suppressed as much as they are now – interest rates will be free to move back up – and pretty soon, borrowing will get slightly more expensive.

THE SEPTEMBER EFFECT
According to Investopedia… September is the worst month for the stock market, and since 1950…the Dow Jones has declined an average of 0.8% in September…and the SP500 drops an average of 0.5%…and, what’s even stranger is that this “Average” drop happens even in absence of an election year, AND it occurs throughout the worldwide market, as well.

Now, it’s important to mention that – because these are “AVERAGES” – it doesn’t ALWAYS mean the market is going to drop every single September….IN FACT, 45% of the time…the market goes UP…but, it DOES point to the concern that – OVERALL – this could paint a negative picture that some investors are aiming to get ahead of, today.

THE US HOUSING MARKET
According to the National Association of Home Builders, “Buyer traffic has fallen to its lowest reading since July 2020 as some prospective buyers are experiencing sticker shock due to higher construction costs,” but – those construction costs are beginning to come back down. Lumber prices have already fallen 71% from their peak, while Home Depot sales growth slowed to 3%, after increasing 30% within the first 3 months of this year.

Or, more simply put: in terms of the housing market, prices have seemed to reach a point where buyers are out-priced, and sitting on the sidelines waiting for things to start cooling down. This could be the point where the housing market BEGINS to normalize as building costs decline, and more inventory comes on the market.

THE STOCK MARKET BUBBLE
Cathie Wood says we're not in a bubble…because, too many people are skeptical that IT IS a bubble. In fact, she says that “in the late ’90s, our strategies would have been cheered on. You remember the leap frogging of analysts making estimates one higher than the other, price targets one higher than the other. We have nothing like that right now. In fact, you see a lot of IPOs coming out and falling to earth. We couldn’t be further away from a bubble.”

In addition to that, the worse news come out…the more appropriately stocks are priced, which gives better deals for her to buy…so, in that sense…if enough people THINK it’s a bubble…they’ll probably behave under the conditions that…it WON’T be a bubble.

My ENTIRE Camera and Recording Equipment:
https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB

For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at GrahamStephanBusiness@gmail.com

*Some of the links and other products that appear on this video are from companies which Graham Stephan will earn an affiliate commission or referral bonus. Graham Stephan is part of an affiliate network and receives compensation for sending traffic to partner sites. The content in this video is accurate as of the posting date. Some of the offers mentioned may no longer be available. This is not investment advice. Public Offer valid for U.S. residents 18+ and subject to account approval. There may be other fees associated with trading. See Public.com/disclosures/

RELATED ARTICLES

Most Popular

Recent Comments