Happy Manic Monday to your all. And for the first Monday is a long consecutive weeks of Mondays the market isn’t starting the week off in the red. Currently all three major indexes are up at least half a percentage bases point. But the reasoning behind again just like when the market is down isn’t genuine market fundamentals. Because the markets have been experiencing such massive volatility and in the wake of the disappointing jobs report last Friday, some experts believe that The Fed will cut rates. While this may give temporary market relief it will be inflated and superficial.
If you should all should recall it was the near zero low interest rate in the Great Recession that spearheaded the great housing boom of 2002-2007 because money was so cheap. And for much of this now decade long recovery the The Fed rates were at or near zero. The whole reason the policy of raising the rates was enacted some 18 months ago was to get the economic back to fundamentally functionally levels. And now at the first sign of some turbulence cutting rates is the first mechanism that is expected. Though I’m not an economist I will you that this move will do more harm than good. The market needs to be allowed to naturally go thru it’s ebbs and flows otherwise basic financial analysis and market data is of no good to anybody.
The Fed should not be caving in to pursue from the administration nor traders or bankers on Wall Street in regards to rate hikes or decreases. It should function as it was intended as an independent body that makes the best decisions but off the data and the normal cycles of market economics. We’ll see what decision will be released later this month.
(I’ll be writing a blog later this week about The Fed and what rates are and how they relate and move the stock market)
Investment Portfolio Update
The movement in the market we are actually nearly back to even. Back in March we invested roughly $50,000 in the securities you guys voted on. And as you’ve seen in the previous week we have been down about $5,500 but we nearly have recouped it all. And that’s without Tilray our biggest speculative stock and loser even coming back yet. Those shares are still down 50% from when we bought them. But it was once down as much as 58%. This is the beauty of DIVERSIFICATION, when one or two stocks are down in the portfolio the others can carry the weight. Keep the faith and stay the course!
During the operation call this weekend Charles informed me of a new platformed he was introduced to during one of other ventures. The platform(LaunchPass) will be the mechanism that we will be using to allow access for new members for the monthly subscription of $5. The payment thing about this platform is you don’t need to send your payment over thru PayPal or Cash App or other things we been using. The system allows the members to setup recurring payment first there and it will be funneled the the Todd Capital Operating accounts. This is just another great step and progression on the path of us doing 10x things. As I said probably next week I will be introducing our new membership VP LaQuida and will be handing over the reins of the email interactions to her. So stay tune for the transfer for duties as well.
Information from this weekly email is not intended to be investment advice or construed as a recommendation or endorsement of any particular investment or investment strategy, and is for analysis purposes only. Be sure to understand all risks involved with each strategy, before attempting to place any trade.
Per usual hope you all have a great and prosperous week and an even better investment week. Will talk to you soon!!
Jamaal W Vetose