Oh hey, welcome back to the Mad core show. We're here to talk about breaking news, what's going on in the world of stocks, crypto, the economy, everything in between, and essentially any of the other random things that I find interesting on. Twitter On today's episode, I'm going to be diving into the chaos that is the stock market I Don't know if you've been paying attention to it recently, but it's whipping to the upside, it's whipping to the downside: I Really feel as if I need to go get my neck checked out by a chiropractor? I'll be giving you the rundown on the most recent inflation report what it means, what it doesn't mean then I'll be diving into why there's a new renewed here in the whole Regional banking sector and then we'll be polishing it all off with some recent commentary from the World Elite I'm talking about the billionaires. So with all that being said, buckle up.

Don't forget to smash the like button and now let's rot. I Know many of you come to me looking for expert Market Advice: what you should be buying, what you should be selling, and overall how you should be thinking of the market. The only major problem with that is I'm by no means an expert. In fact, a lot of you have seen some of my horrendous plays.

Fortunately for us, I have found an expert who is gracious enough to bestow some of his insights for the overall Financial system with all of us. One of the secrets to passive income is making your money work for you. All right, right, And the way to do that is by investing in stocks that are always going up in value. That's what we're looking.

Okay, so that you're making money even when you're not looking at it when you're not thinking about it. Okay, Chris and I were Chris and I Were talking about this earlier. Okay, Chris isn't here right now, but we were talking about this earlier because one of the problems that new investors have is they think oh, I need to invest at the ground floor but that's that's too risky. The company has no track record.

What you need to do is look for a stock that is going to double or even triple right in one month's time, two months time. Because then when you sell you, you've profited right? because your your shares have gone up to be more valuable than what you paid for them, right? And if you're not sure if the stock is going to go up, call the company right and just ask them because they legally have to tell you they can't They can't lie to you. if the price is going to go up, they will tell you right there on the phone and that's how you know. Buy Now.

And this is the last. Here's the last thing. If you ever see the price drop if you're invested and the price drops by even one percent, sell immediately. get your money back because that that stock is a dud.

Absolutely amazing. I Have to admit that I'm a little bit frustrated with myself because I never thought about that I never thought about just calling a company and asking them, hey, is your stock going up If I did that, maybe I would have had so many horrific traits since not all of us have the phone numbers to the companies we end up trading, Maybe it'd be a little bit beneficial if we talk about what's actually going on in the economy. An hour before the stock market opened today, we got two pretty impactful economic reports. The first was the Producer Price Index aka the PPI report.

Similar to this CPI report from yesterday, as in it's another inflationary report also similar to yesterday, The report came in cool as in lower than expected as an inflation is coming down faster than anticipated wholesale prices. Rose just 0.2 percent in April less than estimated as inflation pressures ease. just so you know, the anticipated number was 0.3 percent. The second report was the initial jobless claims U.S jobless claims rise to highest since October 2021.

Inside labor market is cooling. Initial unemployment claims increased by twenty two thousand to two hundred sixty four thousand, and the week ended on May 6.. the reading was higher than all estimates in a Bloomberg survey of Economist where the median estimate was 245 000. So you're probably thinking to yourself, we now have two reports in a row that are suggesting inflation is coming down faster than anticipated.

and we have another report telling us that the job market is cooling off. so shouldn't the stock market be ripping to the upside now? I Get where you're coming from. But I Think that you might be forgetting one thing. The term stock market is actually an old Latin phrase that roughly translates to I'm going to do the exact opposite of what you want me to and what makes sense and it's gonna cost you a load of money at least I'm pretty sure that's what the translation is.

Yeah, or who knows. maybe it was this. U.S Stocks dip after renewed banking concerns and rise in jobless claims. Yeah, do you remember that Regional banking crisis that they told us to not worry about because it was over and the system is strong and resilient? Yeah, that one.

Well, apparently that was the opposite of right. Pacwest deposits dropped 9.5 After report of investor talks, Pacques said deposits fell 9.5 last week after a news report that the lender was in talks with potential investors on the report of the deposit Exodus It caused the stock of Pacwest ticker symbol Pacw to take a swift kick to the balls. The news headlines increase our customers' fears of the safety of their deposits. Hey, that's exactly what I've been talking about.

This is a very, very vicious, self-fulfilling prophecy. When the stock goes down, the clients of that bank feel a little bit less secure. so they go to the bank, take their money out, and put it in a more perceived safe bank. But when they do that, there's an exodus of deposits which gives the stock real reason to actually go down, and then more people get scared.

So they take their money out and you can see how. It's a very negative feedback loop. In my opinion, the regional banking opportunity isn't really a technical play, it's not really a fundamental play. If anything, it's a crowd psychology play.

If people remain scared as in, they're worried about the security of their money In the these Banks may be to the point that they take their money out, then I would fully expect there to be a continuation in the downward pressure on these stocks. However, if people believe that the government will back them up as in back up their money as in back up the banks, then I think the problem essentially disappears. Now the golden question is this is the crisis over or is there more pain to be had? And if we're in that latter case, how much more pain is there to be had According to Jamie dimon the CEO of JP Morgan The U.S needs to finish the bank crisis. I Think it's going to get worse for banks.

More regulations, more rules, and more requirements. If you overdo certain rules, requirements and regulations, there are some of these: Community Banks that tell me they have more compliance people than loan officers. So even though Mr Diamond the CEO of the largest bank is sounding a little bit Grim he doesn't think you should be able to short these Banks whatsoever. you know, like look, my folks would tell me that that's not the problem the short selling band have.

You actually analyze stocks and short sales? it's not, doesn't seem that big a deal. I Think they may partially be wrong because as you know, some people are on scriptlist, they use other means to go short. I Think that if you look at the detail, the SEC has the enforcement and capability to look at what people are doing by name in in options, derivatives, short sales and they should go if someone's doing anything wrong. people are in collusion or people going short and then making a tweet.

You know about a bank, they should go after them and and vigorously and they should be punished to the fullest. Dental law allows it. So uh I think it's positive taking place. We have no evidence of it, but you know my experience in life has been.

don't assume too much. So even though he doesn't want you to go on Twitter where you can share your own thoughts and opinions and if you so choose, put your money where your mouth is, he also wants to let you know this. a US default would be potentially catastrophic as lawmakers remain deadlocked over raising the debt ceiling in all reality. I Don't disagree with this statement at all, but I Do find it funny that he's acting as if his own statements don't have a massive influence.

It's all good though, because he's super sad he had ties with Epstein How are you feeling about the Epstein deposition this month? I Am so sad that we had any relations with that man whatsoever. You know we had top lawyers of value in this from this. SEC Enforcement The Doj you know, obviously have we known them we know today we would have done things differently, but it's very unfortunate. and I have deep respect for these women.

That doesn't mean reliable for the action of an individual, but I do have deep respect for them. My heart goes out to them. and um, you know who else is super sad billionaire Carl Icahn and CNN insiders Hindenburg Research the firm that essentially ruined Carl Icahn's life. If you don't believe me, go check out the price action of his stock ticker symbol.

IEP Well, they came out with the rebuttal to his rebuttal to their short report. Icon's latest disclosures raised critical new questions about margin loans and continued portfolio losses. I Don't want to bore you with all the details, but to any of you who are paying attention to this narrative or the IEP stock. I Highly recommend you read this and I should probably let you know that after I read it I've decided to hold on to my IEP puts the other group of sad people are apparently CNN Insiders CNN Insiders were horrified watching their Network conduct the Trump Town Hall calling it an unmitigated disaster I wasn't able to watch the Town Hall live because I was busy making update videos for all of you.

but I did see some of the clips on Twitter today and I have to admit they were pretty freaking hilarious I understand why CNN Insiders are calling this a disaster. Obviously those are my own opinions and maybe I should be a bit more mature and not laugh at the debacle. but I did find it to be pretty funny. so I would love to get your thoughts in a comment below.

and now let's talk about what you can expect tomorrow. Friday The final trading day of the week. TGIF In terms of seasonality, the day heavily favors the Bulls. Over the past 25 years worth of data, this day has been won by the Bulls 48 of the time, so essentially flipping a coin.

But when they do win, it's in a pretty dramatic fashion, which is exactly why the profit factor is a scorching hot 2.25 So obviously the buy is clearly bullish. Now will that actually come to fruition? I Have absolutely no clue because the stock market lately has been nothing but chop. City Today's high and low was within the high and the low of yesterday. Another way to say that is we had an inside day, which basically means we had a non-trending we didn't break out.

we didn't break down. we were stuck inside waiting around for something to happen for me personally. On the bullish side of things: I'll be looking for the breakout of the 413 414 region, which could potentially set up a trade to the Gapville at 4 15, 27. Now on the bearish side of things.

if we cannot hold 410, then I'll be looking to see how things react in terms of price action just south of 49 and then below that, we have another Gap Bill to 407 27. if I really had to guess I would be betting that the breakout or the breakdown is going to be somewhat intertwined with what's going on in the regional banking sector. so make sure you're paying attention to that. That's what I have for you today.

I Hope you enjoyed the video. if you did, don't forget to hit the like button and even if you didn't maybe you still want to help me out by hitting the like button. Also, don't forget to subscribe. I'll catch you in the next video.