I heard a statistic that if you have an intra market reduction during the year
of seven percent or less, you're incumbent is going to later re election even
as weak as this incumbent is if there's an intro market entry year reduction of
seventeen percent. So if we have a drop of seventeen percent during the year,
that would vote better for the trip team. So God only knows what's
going to happen, but the Defense certainly probably will try to rescue things at
the September or November meeting with a rate although all those percentaduce have lesson with
the job or Today you're listening to Carrie Let's his Financial Survival Network where you
get valuable information you just can't find anywhere else to thrive in today's trying times.
You need the Financial Survival Network now more than ever. Go to Financial
Survival Network dot com and get your free newsletter and gift. Financial Survival Network
now more than ever, and welcome you are listening to and watching the Financial
Survival Network. I'm your host, Carrie Lutz. Hey, David Bright is
with us. We've got a really hot jobs number. You know I reached
in the refrigerator David for a bottle of champagne, and I realized I consumed
that bottle of champagne for the last jobs number. So now I'm stuck.
I need to celebrate, but I've got no beverages to do it with.
Well, I think you should just not worry about that, because I think
the inflated jobs number is going to be revite down word. Although when you
look at you know what jobs are being built. Obviously, what we're seeing
here is a number that's been skewed, iire by a lot of jobs that
our service oriented and leisure hospitality, even as our fat government gets fatter,
all that stuff is contributed to it. Two hundred and seventy two thousand jobs
when the element was really an hundred and eighty five thousand. But like you
said, it'll be revised downward for sure. But I think that poses some
questions for the future of what's going to happen with you know, interest rates
and the beads. What are they going to do with that Because at the
same time we add all these jobs and then have our revisions downward, the
ointment rate rose about to four percent four point one percent, So you've got
that, you know, going a little bit higher, So if that's one
of lower rates at some point, But some of the beneficials are saying,
yeah, well maybe not not so bast because if the markets are levitating on
AI stocks, you know, what do we do with that? Do we
lower rates? And there will a lot of there's more demand destruction, So
lots of questions out there. I think we all kind of have a feeling
where things might be heading in the future. Just using the horse US as
a point of fact, it's election season, Well doesn't the FED have to
cut interest rates to help meat? That's Alan Abelson, late great editor.
I think he's I think he passed on from Barons once said the FED is
doing what it does best, which is re electing a president. Yeah,
Nicole, but true. Huh Yeah, I think so. I think I
heard a statistic that if you have an intra market reduction during the year of
seven percent or less, you're incumbent is gonna later re election, even as
weak as this incumbent is. If there's an intro market entry year reduction the
seventeen percent. So if we have a drop of seventeen percent during the year,
that would vote better for the trop team. So God only knows what's
going to happen, but the Defense certainly probably will try to rescue things at
the September November meeting with a rate although all those percentaduce have lesson with the
job or today. Hey, remember Will Rogers said, over one hundred years
ago, invest in inflation. It's the only thing going up. He was
a wise guy, wasn't he. Yeah, on many levels. So how
do you invest in inflation since that's the only thing that's going to go up?
Here? David, Yeah, good question. Buy all the gold you
can and just hang on to it. I guess you know, done in
gold? Right, Yeah, there you go. Ammunition gun's got in gold.
That's the gone gold. I love it. And you can buy a
little bitcoin while you're at it, right, why not? You know,
I throw that in. We're good. And I did a couple of versoys
on gang Stop perhaps some game stop. Yeah, what's with the meme stops
here? David? Like, I thought we outgrew that. I thought so
too. But obviously, uh, if you're you're just an ordinary consumer,
you can play those games with with stock prices. I thought Joe Kennedy did
that during the you know, during the twenties. But I guess we're back
to doing that same thing again. And it's kind of crazy what's going on
in that world. But there are so many other things to worry about out
there other than that. I just it's a pleasant distraction. Yeah, it
is. It's kind of funny to see what's going on a little kiddy there,
it is. You know. Like, on the one hand, uh,
triggering short squeezes I think is a good thing because when you've got those
funds naked shorting stocks that are vulnerable to be able to stick it to them,
it's not too bad, you know. Yeah, that's right. I
totally agree with that abuse of short sellers should be taken to the woodshed and
you know, and taught a lesson or two. I mean, if we
had an sec and governmental regulatory structure that actually worked for the people, there
wouldn't be any game stop situations because you wouldn't be able to doom abusive short
selling. And look, I think some short selling is good. Provides liquidity.
It also triggers rallies stock market rallies. But in the final analysis,
Elon Musk said they started short selling because they had to have the certificates and
they knew the certificates would take eleven days to get to them, so as
an accommodation to protect the brokers in the in the clients, they provided for
short selling to allow the certificate to catch up with the trade. But that's
we've gotten wavy, way way way beyond that, haven't we. Yeah,
absolutely absolutely know. It's like you had to wait for Wells Fargo to deliver
your share statutics before you transfer it. So rather than having to wait two
weeks to get the physical certificate, you you could sell the stock and then
when you have the certificate, you close out your position and you're you're golden.
But so, hey, what are the sectors you should be looking at
coming up? Do you think the mining sector precious metals is going to pick
up in the next year, Well, I it certainly can't. I mean
you have to look at the I think the the mining stocks, the energy
stocks. So if it's a Trump presidency, you obviously can look for those
sorts of things. Financials of course, uh uh. Back at some deregulation,
I think some of those stocks will perform better. Obviously if buying gets
in again. You've got to look at the things that are you know,
more green in nature. But I definitely think that for most of my clients
that are retired, we're sticking with the things that generate dividends and interest and
more of the value oriented things that than anything else. All right, so
you'll like dividends, right, Yeah, we find that it takes a lot
of the staying out. I mean, our dividend oriented things are on pace
this year obviously not through appreciation, much appreciation, but just through dividends and
interest to you know, have about a six to seven percent income, which
for most people, if they've done a good job of accumulating their wealth,
that's going to give them plenty of cash flow to live off of from their
portfolio if they do want growth place and they can obviously, you know,
invest in the and videos of the world, a MB Microsoft, those types
of things. But but for just pure dividend place, uh, we use
the universe of income strategies, uh, corporate bonds, preferred stocks, those
sorts of things, uh, generating a nice return obviously. Uh. You
know, the whole concern that I had moving forward is just what's going to
happen to our our our economy. Just the vitifurcation of the wealthy and the
middle class is concerning to me when you when you look at uh, you
know, we've got all these illegals coming over the border which are filling all
these service jobs and zinc time, and you've got all these you know,
gen zers or millennials that uh got through COVID. It got used to spending
more money, having a nicer car. They had all these government subsidies and
and you know COVID payments. They're used to using their their government money.
And now their credit cards are maxed out, uh in one point one trillion
in credit card debt and growing. Uh when does all that end? I've
heard of statistic that there's about another three to four trillion dollars available on most
Middle America's credit cards. But at what point do the credit card company say,
you know what, if you're a little buying on your credit card,
pays are well cutting back your credit card credit limits. So when does that
bowl issue of credit card debt start to uh, you know, bite the
middle American so that you know there be in bankruptcy situations. So and that
doesn't even measure the seven hundred billion dollars that's out there and revolving debt,
the phantom debt, the buy now and they later types of debt that that
are out there that's not even included in that. So feed mole are are
had gotten used to this cushy lifestyle, spending money buying their their Amazon toys
every day. Uh and uh you know when does that all got to come
crashing down around us? Yeah? Well, I'm on the buy now,
pay never planol cool. So you think that's a sound strategy and absolutely a
solve strategy. You let them, you know what, they'll never buy in
Gary, They'll not I'm hoping. I'm hoping if I'm in the age at
someplace, what are they going to do? Now? But right, I've
never stuck anyone before in my life, and I'm not about to now.
But it's damn tempting, isn't it. Yeah, damn damn dumpting. You
got that right? Yeah? All right, So look for dividends, look
for yield, no bonds. Right, Well, we're buying bond, we're
buying bond, but obviously there's not a lot of comfort buying our debt right
now. But the people that we have in bonds right now, the durations
that we have intermediate durations. Certainly in shorter durations are doing pretty well.
But things that that can generate the income that's reliable and predictable, that's kind
of my world. That's what we say. Okay, I like it all
right, David, appreciate you coming on. It's how thank you, Harry,
not what summer is coming? Hey, just tell us again where we
find you, how we connect with you on the web, well other you
can go to two place, the right financial Group that's right with a W
Financialgroup dot com or my book Bonfire of the Sanities b O N F I
R E of Thesanities dot dot com. Need a place. We always appreciate
your you're boxed and David and your words and the link will be in the
show notes for this interview on Financial Survival Network dot com. And while you're
there, please sign up for your free newsletter David always a pleasure. Thanks
for coming on. Take here, Barry, thanks for listening to Carrie Letz's
Financial Survival Network, your solution to today's trying times. For the latest,
go to Financial Survivalnetwork dot com. Financial Survival Network now more than ever