The stock market quickly bounced back from its Covid crash of March 2020, assisted in part by trillions in stimulus and help from central banks (which is still going on). With that kind of help, how can an investor determine what’s really going on? By looking at other data than stock prices or GDP, which includes government spending as part of its calculation.
One trend worth watching is in freight trends. The Cass Freight Index (there’s an index for everything) shows that goods shipped by road and rail in North America finally hit a pre-pandemic level in July. While a good metric for tracking the economic recovery, physical goods are becoming less useful in today’s interconnected digital age. But it’s a sign that the economy has room to grow, and is largely recovered outside some supply chain issues and a labor market mismatch.
Precious Metals Prices
Price at week’s end (change over last week)
Gold … $1,780.68 (+0.9%)
Silver … $23.82 (-2.5%)
Platinum … $1,038.25 (+5.0%)
Palladium … $2,683.55 (+0.8%)
Now here’s the rest of the news:
Inflation Is Winning, and Here’s Why the Fed Seems Content To Let It Happen
A peek at the shocking state of the government’s balance sheet explains why the Fed has thrown in the towel on the fight against inflation… [Read Here]
More Money Doesn’t Mean More Wealth
Excessively high inflation seems like it’s here to stay. Some voices have given up on condemning inflation, and instead have chosen to welcome its benefits, like bigger paychecks for workers! Here’s why that’s utterly absurd… [Read Here]
Manager Who Called Gold’s All-Time High Sees Price Doubling in 3-5 Years
The Quadriga Igneo manager outlines the longer-term case for gold to double, at least. There are a number of reasons he thinks gold might climb as high as $5,000… [Read Here]
August 16, 2020
“Listening is the foundation, not just of negotiation, but of everything worthwhile in life.”
—Alex B Carter
Here’s to a better YOU … and now … Today’s DarrenDaily Recap Sunday. A collection of the weeks videos from Darren Hardy. Enjoy!
Describing its beauty!!! Taken in St. Anthony, Newfoundland, Canada.
Aerial view of a small town on a rocky Atlantic Ocean Coast during a cloudy day.
August 16, 2019
I’m retweeting this as there’s a newfound interest in eating less red meat, addressing global warming, and alternative ways of living life healthier. Good Morning.
We’re always cautious on any company going public. IPOs are an opportunity for a company to raise capital before it has a trading history, and usually before it’s even profitable. If a company has a great story, it may have a huge rally from its IPO, but reality will eventually set in.
Beyond Meat, one of the hot IPOs of the year, saw this recently. Shares are down over 29% from their all-time high following an earning report where it quadrupled sales — but the company also announced it was issuing more shares. Even a fast growing company won’t always grow fast enough to keep the market happy. We suspect other recent IPOs will see similar drops as earnings season unwinds.
Motivational Quote of the Week
“It’s not always that we need to do more but rather we need to focus on less.” — Nathan W. Morris