Mr. Money Talk

The afternoon. This is Josh Arnold, mister money Talk with Judd Arnold here to answer your questions on stocks, bonds, mutual funds. You should position your investment dollars including your IRA in four oh one k. But you do have to give us a call nine five two nine two five five six o eight. That's nine five two nine two five five six o eight. You'll

always get straight talk, not sugarcoated advice. Well, Friday, Friday to concluded a pretty good good week overall, and actually a pretty good several several weeks, though the market did close on the down as market watchers can continue to be concerned not only with the Federal Reserve and the direction of interest rates, but also with a debt ceiling debate that's going on in Washington and the concern that we will reach and go beyond the debt ceiling limit. On or

about June first. Republicans in Congress have passed a debt ceiling increased bill which includes some spending caps are basically caps spending to twenty twenty two levels, and the Democrats want a bill passed without spending caps, as they see the spending caps least according to Secretary of Treasury Janet Yellen is Drakconian cuts that will hurt

numerous people. Well, debates are going to continue into the next week and probably just beyond the Memorial Day holiday, and we'll see the market reacting to the ongoing debt sealing debate. Not to mention continued concerns about the direction of

interest rates and the FED dealing with inflation. Now on the plus side of the ledger In terms of the FED, the FED Chief Jay Powell, in comments today with a former FED FED Chief Ben Bernanke, indicated that not that the FIT was done raising interest rates, but there was reason to slow down and or pause with raising interest rates and provide almost a weight and see and become even more data dependent given the lag effect of what the FIT has done

already raising interest rates eleven times over the past past year. Ja Pale also mentioned the impact of banks credit tightening, which could also act as a damper on the economy and also help bring down in FLA. We have to give a little more context to these statements, Okay, then we'll leave that to you. I'm speaking very very I'm gonna give a little I'm gonna give a

little context. Okay, over the last month, just one month, the one year treasury yield is up twenty five basis points from four seventy five to five. So part of the comments that Powell was making today, because the curve is now pricing in more increase rate increases. You can see it across the curse I talked about. The one year went from four seventy five to five points. The six month over the last month has gone from five to five thirty four, so another thirty you know, Well, I want to

just just back back up there. It's not only the last month. I would say, as we've gotten more information or more concerned about the debt ceiling debate, the very short end of the yield curve has spiked up now. Um. On Friday, we saw the two year, you know, creep up back back above four. We saw the ten year go actually just the whole curt the whole curve isld have moved moved up. But we also saw as the yields moved up, we saw the value of UH bonds drop.

So bond investors, which had been making up a little ground this year, lost a tremendous amount amount of ground. Uh We'll say in the last week, we go back to this death ceiling the rate, the rate curve is now work. We've I rated multiple times over the last year, and now we're back to rates are going to stay high for a while. Well, I would we could have We could have said that just listening to FED governors over the past past months who have in Yeah, but where the conversations they

have fire for longer. They've been saying that the whole time, and they don't The bond market hasn't hasn't met like agreed. And now you're back to a point where the curve in totality is saying that for the first time in a while. Well, is the curve saying that because they're concerned with the Fed? Or are they more or is the bond bond curve more concerned with the dead ceiling? The short end of it was concerned about the dead ceiling gets less. So now okay, I think the bond curve is also saying

I don't know if it's concerned. I think it's saying the economy remains incredibly resilient, and the FED would like all outs equal to hep rates high for as long as possible, and the Fed's gonna take whatever the bond market gives it, okay, but you've brought something else there out there, Judd,

which is the economy is very resilient. And that's probably surprising the Fed as well as other will say market strategists and pronosticators only because for the last year we've got seven recessions predicted already without actually experiencing one correct, and we keep pushing it out. And now look the market. Well, I hate saying the market's up this year because it's a little bit disingenuous. This is what I mean by disingenuous. The SMP five hundred's up nine point four percent this

year. People say the market's up, they equal weated SMP five hundred. It's not gonna be pretty close to flat or one percent. It's up, Okay, huge spread. And we talked about this all year and this is not a new phenomenon this year. This has gone on since the financial crisis, where the largest stocks tend to move the market. This year, it's

accentuated, and you can look at it multiple ways. You can look at the NAS deck verse the Russell one thousand growths, so the nasdeck is you know, I would argue super concentrated growth and the Russell one thousands the growth element of the top one thousand stocks, that spread is pretty darned big two. That's at the UM. The nasdecks up twenty six point three percent the IWF, so the Russell one thousand growth is only up eighteen point eight percent.

So you have that is you know what you're what you're talking about. You have a quote unquote bifurcated market where the the S and P U S and P five hundred and the naz dick is being boosted by just a smaller, smaller group of stocks. And you know, we could go back those are those have been the fang names plus plus Microsoft as well as several um we'll say several chip names. So if we want to throw in Fang, you know that's it was Facebook, now met up Apple, Apple, Amazon.

We could have another A for advanced micro devices in there you have the N which had been net Netflix, but also Nvidia, the G for Google, also Alphabet and then Microsoft as as the leaders. Yeah, and then energies down nine and a half percent. Bank the Bank index is down twenties. No, it's down thirty three percent. It's not it's fun just getting slaughtered. You know, well, we are not not bank. Bank investors have not been backed. I don't know anybody who is a bank investor at

this point. Certainly they're not getting a lot of adherents. The bank index still trades at one time's book. Oh that's that's sorry. I had it run thirty three percent for the bank index. The SP five hundred financial sectors only down four point seven percent. That's out. Now you were you had on Friday, Secretary of the Treasury yellot And was talking about more consolidation in the banking industry, but got a lot of pushback from Senator Warren, saying

that she was troubled by the push towards more concentration in the banks. But when we come back, we can talk some more about banks, banking alternatives or bank alternative companies in this particular environment, and and some more. Definitely have to talk about retail and even mentioned we'll say shrinkage. Say this is Josh Arnold, mister money talk with Judd Arnold here to answer your questions on stocks, bonds, mutual funds, how you should position your investment dollars.

Don't hesitate to give us a call. Nine five two nine two five five six eight. This is Josh Arnold, mister money Talk with Judd Arnold here to answer your questions on stocks, bonds, mutual funds, how you should position your investment dollars including your IRA in four oh one K. Don't hesitate to give us a call at nine to five two nine two five five six oh eight. That's nine to five two nine two five five six oh eight.

You always get straight talk, not sure coded advice. As I I have mentioned and Jutt has mentioned for a long time, we are not bank investors. Do not like banks for you know, because a lot of reasons. You can lose all your money because it's a ten times lever institution and shockingly when the deposits go, you know, they all go under. We've lost a lot of banks. We're gonna lose more banks. That's less of an issue the market issue, and I guess it's not a should say it's

less of an issue. It's less of an issue for us or most normal people because you're not going to be invested or have your money at a bank. If you're questioning what your bank solvency, get your money out now. But the macro issue, you've got twenty three point one twenty three point two trillion dollars of bank assets financed by seventeen point two trillion of deposits two point two trillion of book equity and you know foreign change of debt those deposits.

Really that's seventeen point two really should be fifteen point two on trendline. So if you're gonna lose funding out of the banking system equal to roughly one hundred percent of book equity into a world where the banks aren't really able to shed the assets side through anything other than maturity of loans, and so it means that on average that the generic bank isn't going to roll eight out of you

know, twenty percent of their balance sheet. As it comes to which the credit contractions gonna be pretty bad, usually takes you know, six to nine months. I like the way you said that the credit credit contraction is going to be bad. Well, that definitely is going to slow slow the economy.

Uh, and that credit contraction is going to make it difficult for people to get um home loans, auto loans, everything, as well as businesses businesses to get en Schwartzman that had a Blackstone, the big private equity firm says, the golden age of private credit. What's he? Also? What's he? He's a great he said. The banks aren't going to show up, and probably it's time for private credit to step in and that comes more expensive. So I it's very not doesn't feel great, and the market's reflecting

that. When the biggest stocks are out performing the smallest ones, that's bearish. It's not bullish now, it's bullish if you're on the biggest stocks typically okay, and they've done okay, it's been a it's been a nice year for for the firm and the Amazon after being a problem child for what two years? Now? Correct is Amazon has gotten the night nice boost. All of a sudden, people are saying, oh my goodness, Amazon retail is doing doing well, and oh my goodness, Amazon is part of the generative

artificial intelligence boom. Why Amazon has been doing artificial intelligence for a long time, and maybe they're they're going to be a leader in this in this arena, so we should go buy Amazon along with Meta, Microsoft, alphabet slash, Google and NA Video. You know, look, Apple's almost back to its all time high pretty darn close. It's bounced around this one you know, he gets to one eighty. Oof, but you know, we'll see

that's what the answer is. We're coming or entering the summer. Usually it's selling make go away. I feel with the credits stuff that's probably going to be true this year or though you never know, we're still pretty defensive.

Well, you know, our our asset allocation model you know, has included or is suggested, of keeping up to up to thirty percent in cash and the balance invested primarily in growth oriented companies, some of which we consider more value oriented than not, and then also doing a small, small bit of trading. My concentration happens to include companies involved in the Internet, leisure related businesses, China related businesses, and real real assets UM, as well as

doing some smaller term you know, small term trading. Judge concentration is on small and medium sized companies, but fitting some of the same same will say value you plus growth growth characteristics. Uh so, yes, we've had a will say, a very good year year to date relative to the to the indusices, which makes up for uh not a real stellar two thousand and twelve. Nobody getting a good year last year. You know, our multi year

returns are pretty darn good. They've outperformed the market by a heck of a lot. But but I want to I do want to come back when you talked about Steve schwartzman of Golden Age of private credit. There you go, you would, you would you wrote a little missive on your Twitter feed from your research company Lake Cornelia. Yeah, research on business development company. Oh boy, business development? Well, how terrible. I mean the meta point.

Let's just this should be a great time for private equity going forward. This should be a great time for business development companies, which typically lend money to small and medium sized businesses. This should be going forward a good time for banks. But for all three of those have one giant issue. Why the stocks won't work. It's because of all the stuff they did before and leading up to this very moment. Okay, and that's the real problem.

And these guys are just saddled guys and girls we were gender neutral, that these guys and girls are stocks to be able to just just say gender neutral. You can just say guys. Now you can't say got to be inclusive, inclusive language, okay, don't be an intimidator, all right, language they nah whatever, But anyway, yeah, Anyway, the problem with all these stocks and is the Blackstones of the world, the kkrs of the world,

the business developed companies. I'm not going to give you the stock tickers because you shouldn't buy any of them, and they're all terrible. Okay, So I should not be buying Blackstone, BX or KKR or they can't or even Apollo all Apollo's got a whole set, separate issue. Apollo, I would run aggressively the other way. You know, Apolo owns that life insurance company a theme, and good luck owning a fifty times or a hundred times

levered life insurance company where people can surrender the annuities with no charge. WHOA, yeah, what are you gonna do? You gotta fixed, you gotta ten year fixed annuity at four and a half percent. You're not going to surrender at no charge and restrike higher. Of course, you're going to surrender right and you're gonna get a higher interest right now. And that's a real

problem for Apolo. But out all these guys, the legacy assets, there might not be a private equity fund with a vintage of twenty seventeen, eighteen, nineteen twenty that has that earns profits, we'll probably be for a significant

amount of time. Then, So when you talk about some of these companies, and I know that a lot of business development companies, some of which are included in the closed end fund index, are showing yields, you know, twelve thirteen, fourteen, fifteen percent, and there are a lot of people running out just looking for for yield. And yeah, you're if you're if you buy a fourteen percent yield anything, guess what you're not getting yield,

You're getting a capital loss. And if you can't follow what I'm saying right now, talk to your financial advisor. You don't buy fourteen percent yields? Oh you're kidding. Well there, so there's a second order impact that you can see. Second order it's a fancy word for one thing happens, and then that opens up a whole host of issues. Really when you dig into the BDCs, that's really pervasive and a scary thing across the economy,

which is most BDC's business development companies lend money floating. Okay, well you've got a problem there. So they're all raw rod hearing that, oh my weight at all in average interest rate that I'm earning on my loans is up three to five percent, and that is at a point where you want to look back at those lenders, those BDCs, and this is also for businesses

and whatnot and the levered part of the economy. I'll tell you what, you're a corporate, you're four times lever and as most mid sized companies are. That's four terms of that's four times as much dead as your cash flow. And your interest cost goes up by four hundred basis points or four percent.

You have some real issues. You don't have any free cash flow anymore, and lenders don't want to take all the free cash and they want to margin a safety and we've leaned into that, and that's a real issue for the economy where a lot of these loans aren't going to be par because they're choking these companies to death. And it's you see it in the CLO market, which is the kind of literalized that loan opplication market, which one of the things that blew up in la O nine where man the stress on all

of these midsized companies. They thought they were borrowing at six seven percent, they now are paying twelve thirteen because of the move in the benchmark interest rate. That's not a good place to be. So that's you add that with the banking stuff that I laid out, and it's just it's not It doesn't feel good, and that's why the market is where it is. We're big cap growth, which has no debt, and it's the only thing with growth

is really outperforming. But we're out we're out performing too well. We are because we aren't all that stuff anyway. So we're gonna have to get the end of the story is stay away from banks, stay away from business development companies, and stay away from private equity stops for the time being. Yeah, this is Josh Arnold missed or Money Talk with Judd Arnold here to answer your questions bond, stocks, bonds, mutual funds, how you should invest

your retirement dollars. Give us a call nine two nine two five. Wait there you go and drink. Haven't drinking water till we'll be right back. This is Josh Arnold Master Money Talk with Judd Arnold here to answer your questions on stocks, bonds, mutual funds, how you should position your investment dollars including your IRA at four oh one k. Don't hesitate to give us a call nine to five two nine two five five six o eight. That's nine

to five two nine two five five six eight. You always get straight talk, not sugar coded advice. Big week for retail earnings and more retail numbers coming out next week including Dick, Sporting Goods and Best Buy among others next week. And then we also have a big tech firm, the video reporting reporting some earnings next week, not to mention some i'll say, more fed

speak and hopefully some deal on the debt ceiling. But this past week, while we had a lot of retail earnings coming out, and the response to the retail earnings was Walmart reported, Target reported, foot Locker reported this this this week, and the response I was not the real, not real positive good I think. Um, you know, wal Walmart got got a nice nice boost initially on the on the back of on the back of their gross grocery sales, uh and their their ability to we'll say to add on to

U on the grocery. But they um so we could almost say they had a they had a beat a beat quarter. But it was all about their all about their their grocery. Even though Walmart raised raised their guidance, it was definitely not about UH soft goods or UH will say any discretionary purchases. But Walmart has typically been very very strong in in grocery. In grocery. Target, on the other hand, now they beat on the EPs EPs number.

They did warn that sales were slowing, but at the same time they kept their full year guidance um and did also say that consumers or watching their their spending. I did find something very interesting which which did get repeated and asked by analysts later in the week after Target reported, and that was the fact that Target lost a half of billion dollars or five hundred million dollars to shrinkage, and they said that could lead to them closing more stores in certain

areas due to the high we'll say high crime crime rate. When foot Locker reported on Friday morning, foot Locker brought up the same issue. Well, can we put I don't like using numbers out of context, so okay, well you can prepare it. So let's give a little context to five hundred million. All right. Target has revenue of one hundred and ten billion dollars, so five hundred million of shrinkage of theft is point five per It's not even one percent, it's half a percent. Okay, well, I'm not

saying it's good. Okay, well, but clearly the retail shrinkage issue, which is a fancy word for theft, is bad. We've seen Walmart pull out of places like Portland. Downtown San Francisco is not a place where you can really buy anything because all the stores up left it. So be it. But I the consumer debt levels, consumers are largely through their pandemic savings, they're increasing. You're seeing consumer debt increase. We're in a tough spot.

I don't think that matters or is as leading an indicator. I think it's more of a trailing indicator. I think what's more inside baseball or where the puck's going. And the Wayne Gretzky yes thing is sort of what we covered in the last segment, which is credit is contracting and that leads to economic slow down, and whether we have a debt ceiling breach or not.

I think that's a side show. I think that's like who in almost two cares Because if the government actually does default, I think we can make a few first principles about government default in the United States, which is given this weird thing with the dead ceiling. At some point, certainly in my lifetime, I would expect for sure in my daughter's lifetime, somebody's going to miscalculate and we're going to have a technical default. I don't think that's that big

of a lead. Secondarily, unlike say Argentina, when the US government actually does if and when they do eventually technically default, they'll resolve it in a week and everybody's going to get a hundred cents on the dollar. Doesn't mean that somebody isn't going to blow up. And in the financial sense, when the risk free asset has a problem, that's probably going to blow up some highly levered vehicle, maybe a bank or two, I don't know, but

everyone's going to lean in and buy. If the market was out five percent time the US government default, you would buy everything. Everybody would buy everything. You know, So that this is I know at some point is going to be and you're getting intolved. You're right, and you're getting a one hundreds US of the dollars. So not to minimize whatever the heck they're doing in DC, but from an investment standpoint, this is a side show.

The real issue is we're not in a great economic thing. And so what we talked about earlier in the show as well, which is interest for the interest rate curve, which is pricing in some cuts, is and pricing in cuts anymore. Jay Powell on Friday sort of walked back an interest rate increase, but also walked forward the rates are going to stay high for a long time. This is not a superconducent market and it hasn't been for a while, and we just have to accept it and so be it. And we're

entering a seasonally a week part of the diamond. It is typically you know, summer, summertime is typically very very it's it's slower, and then particularly as we get to August, things slow down a little bit more. I'll say it was the We'll say the Europeans go on vacation in August and all the We'll say the first the varsity on Wall Street also goes on vacation. Yeah, as well, it's gonna be the summer of discontent, slowness,

Lecointity'll slow down. You just take a deep breath. Whatever it's gonna work out. When it works out, well, I continue to take take a deep I continue to take a deep breath and I'm just very happy with you know, the stocks that I've gotten in my port I'll say, in my portfolio. Yeah, and well, we're outperforming this year. Last year we underperformed a little bit on a five year on every rolling five year basis, we're killing it by like what fifty percent. I mean, it's crazy.

So come in and talk to us if you're struggling. We got a lot to say. You've been around a long time. Well, I've been through a few of these down down markets or continue down markets. We're still still here and still doing we'll say reasonably. Well, still planned to be here for a very very long period of time. And if I look at my invest investment heroes, they continue to work into their late eighties and into their

nineties. And the owner of a of a firm that you were associated with when you were running a hedge fund, Newburger Berman m Roy Newburger, was working up until the day he died at one hundred and four. Well, let's not work. If you're doing what you want to do, well, I am doing what I what I want to do and plan to continue doing it for for a lot longer. While you're you know, you're gonna do it until you see a US government default. That's what you're gonna do,

right, and you'll do it beyond beyond that, hopefully. Look, hopefully I'm not interpreted as cavalier. It's real stakes here, real people might not get paid and all that other stuff. But from a market perspective, my ultimate test is if something happens in the market, sales up five percent on a bad thing, and you're and you you're pretty confident that not only you but everybody else is gonna buy all day, it's market probably not hanging on

five on that. So no, I mean, my my, Michael, you know, if I was working for the government, may not get paid on time. My Social Security check may not show up on time. And if I will, if my bonds can do a week, you're gonna have to wait a week. I have to wait wait a week to get the principal back. But quite frankly, that's not different than some other other situations

that have that have happened. But when we come back, I do want to talk a little bit more about about retail and some areas that are moving in the market. This is Josh Arnold missed her money talk with Judd Arnold.

Call us nine five two nine two five five six o eight. This is Josh Arnold missed her money talk with Judd Arnold here to answer your questions on stocks, bonds, mutual funds, how you should position your investment dollars including your IRA at four oh one K. Don't hesitate to give us a call. Nine five two nine two five five six eight. That's nine five two nine two five five six o eight. You'll always get straight talk,

not sugar coded advice. I used to say that it's the shoes. It's the shoes, and during any economic slowdown, you typically it's the shoe companies that would hold up and hold up the best. On Friday, one shoe company reported reported their earnings. Now this company, Footlockers, in the midst of a turnaround, but if they did not have a stellar quarter at all, obviously small base retails tough spot. I mean, it's it's been hard. Footlocker has been in a tough spot for a long time. Well DTC,

everybody's going DTC. Well, even Footlocker was going DTC, and they did have they direct to consumer division, East Bay based Sports, but they since closed that close that down and they're trying to turn their business around. The the CEO has had a real good history of turning businesses around, including all the Beauty. Has said this is just part of the part of the process. But foot Locker stock dropped a little over ten dollars a share on

the miss and and lower guidance. Say, the only thing that foot Locker has going for that now because at this point they have not cut the dividend. But I'm sure that at some point that that could be up. You know, they might have a lot of show. I don't know a locker for sale. All based retails really struggle, do you look at I mean, it's just across the shoot. Chico Foss can't work. They should keep putting up awesome numbers. This is take your hs literally. They they can't

buy a stock movement. You got Victoria's Secret which got spun out I think three years ago at fifty five, got spun out of limited and well, um, I'd love to say Bath and body Works. Bath and body Works seem to be doing okay, Victoria's Secrets not so much. I mean, that's stock peaked. I think at eighty five ninety it's back down to twenty five and going lower. It is, but some of the retailers that had been doing well just in terms of terms of the shoes just off footlockers numbers

have have come down and come down pretty pretty hard. I just I just don't know the footlockers actually representative of anything more than all based retail. And you look at all the news. You know we've talked about oln uh, they're how onn reported unbelievable numbers this week, beat on the top line, beat on the evaluations so stretched. That's why their stock, their stock evaluations

so stretched. They also have a channel issue too, they a little I think that stocks just a little bit ahead of itself and maybe it comes back to earth. I don't know. It's a hard market. Yeah, there's five stocks working, and there's more more than five stocks. Feels like five, maybe six, And there's more more than that. There is more than What are you upset about? I'm not upset. I'm not upset. That's pretty good. I mean, if if you weren't, you want to push

me to be upset, I can be. I can be be upset. My casino stocks way underperformed, and I've I've got that's a perfect cutback. That's a perfect example of what's not working in the market, which the casino stocks are putting up fine numbers and everybody says, nope, you got a lot of debt and your consumer and I'm not there's nobody to take you out of the trade. So and this is the same thing impacting energy, where

all the people who own it really like it. But for stocks go higher, you need you know, supply and demand, right, you need more buyers and sellers right there just isn't the next wave of people despite the numbers being really good. And I think going to one of the other things that we talked about in the show, where the market's kind of in this waiting

for Godot moment. We keep waiting for a recession that hasn't come. And at some point, all these things that are underperforming because of this will they or won't they recession fear. At some point, cheap is just going to get too cheap. And so I don't know when these things work, but I can say the casino stocks, the energy stuff, some of the good retail that isn't working, you consumer focused stuff, they just keep getting cheaper

and cheaper because there's nobody incrementally. But to buy them because of the recession fears and because of the fears of the FED overdoing it. At some point, once this thing turns, it's going to work. Now it might not. It might be two years before we turn. We've seen worse. We've always seen seen worse. I don't I'm not going to say it's going to be two years before you see some of the work. I mean, I don't believe that investing in banks is going to work to work at all.

But again, you know, I'm not a bank, We're not a bank, we're not bank bank investors in all right. But it's the cychnical stuff that that looks screens like value that's got a little bit of debt that we've We've talked about a lot of stuff. It just keeps getting cheaper. You know. There's some of this coal stuff, for example, a lot of people don't like coal. BTU announced this big buyeback. I think it's a forty percent buyback of the outsting that they float over the next year and a

half. I mean that stock can't move. Thing's gone, you know, peaked to thirty three in the way of Ukraine a year ago since they announced this big buyback and dividend thing twenty six, we went under twenty this week's no debt. The things at one time's cash flow, where does it go just people don't buy in. Well that that just fits into you into the energy complex and energy is it was not not moving. I mean, if you talk about the entergy, you know some of the energy names that look

very energy and next down nine percent for the year. It's down a third as much as banks. And these guys are printing money. These guys are the banks line. If there's a little local company, a small company that you've liked and I have traded in the in the past, Northern oiland Gas pays a very nice, nice dividend. They've continue to expand they've had some some decent numbers that Kate came out. They announced the deal this week.

They and that they had a nice are as they annouced the old than they had to do a secondary to fund the deal five percent yield their thirty one dollar stock. That thing should be fifty bucks. It's just even announcing the deal. Uh. And you know like UM one night went with with additional stock, which is dilutive. You know, the stock still finished up up for the week, which I think is a that's that to me is a is a real positive. Um, it's a company that to me looks looks

very interesting. We've talked, talked about this thing just keeps creeping down, is um New Fortress Energy. I just my daughter owns a lot. I need to buy more for her. At some point. New Fortress is gonna It's gonna pay for my nice house. I mean, I think it. I keep talking about the stock is going to be worth ten x in five that's a Wold prediction. So say on half right, it's worth five x. But that stock is so well positioned. It's natural gas and power downstream

electrification. Electric demand is going well, electric demand that's got to go go up. It's almost government growing. It's growing four times what oils demands growing in emerging markets. They're huge in Brazil. They got a power plant in their waggler. They're big importer read. I like where they are. The CEO is a little bit crazy. He also owns the Milwaukee Box Rich Guy, real Globe trotter. But okay, well, so you're talking about crazy

crazy CEOs and what they do. Well. I think it's also quill find Natural gas keeps coming down, so we'll see, we'll see. That's one we'll look to add, you know, when the time's right. So I don't know, it's all about patience right now, and definitely with some of the issues that are around. Plus the summer, patience is still still the kick. I mean, it's it's gonna be a year of patience. So if we get you know, as we record this show, it sounds like

they're not negotiating. The White House confirmed debt negotiations are off. After the Republicans walk down all this political stuff, it just has to happen. We'll see. So I think it's all noise. I now, look your whole life. You can spend it being upset at the politicians, or you can go out golfing, drinking and generally having a happy life. Drinking wine, don't drink, don't drink in excess. Well, the drink that the drink

that I have, my drink of choice is Coca Cola. King Oscars, as the stock saying goes and King Oscar is held up pretty well, I'll say, through thick and thin and even check this out for all of people who want to put their money in gold and silver king Oscar long term has actually done a lot better than gold and silver. Say this is Josh Arnold, mister money. Talk with Judd Arnold. We're here to help you. Give us a call nine to five two nine two five five six oh eight,

See you next week. Josh Arnold Investment Consultant is a registered investment advisor located in a state of Minnesota. All securities discussed are for informational purposes only. Investing contains risks, including risk of loss. Consult your investment professional before making any decisions about your investment portfolio.