Episode 384: These Are the Sectors You Should Buy Today
On this week's Stansberry Investor Hour, Dan and Corey welcome Marc Chaikin back to the show. Marc is a Wall Street veteran with 50-plus years of total market experience. He's also the founder and CEO of our corporate affiliate, Chaikin Analytics. He joins the show to share some of his vast wisdom with listeners, from the hottest sectors around to why you shouldn't get spooked by all the volatility.
Marc kicks off the show by making his bullish case for the markets. However, he notes that this rising tide has not lifted all boats equally... He lists off several sectors that are particularly attractive to him today, plus a few he's staying away from. Marc also talks a bit about JPMorgan Chase CEO Jamie Dimon's prediction for a financial hurricane, the outlook for energy stocks, what's going on in China to make stocks so volatile, the U.S.'s shift from a manufacturing economy to a service economy, and how the Federal Reserve has been doing...
I think Jerome Powell, the Fed chair, has done an absolutely great job of managing – I mean, some people will call it a soft landing. I'm going to say there's no landing. The plane stayed up in the air and somehow it has refueled mid-flight. And here we go.
Next, Marc emphasizes that the key to profiting as an investor is to avoid making broad economic predictions. He says that different sets of data can give you conflicting signals, so it's not worth your time trying to guess the unknowable future. Instead, you should pay attention only to momentum and earnings. Marc then criticizes financial reporting by the mainstream media, advises listeners to take advantage of current volatility rather than run from it, and highlights the bullish setups in nuclear and software stocks thanks to AI...
If all you know about AI is through ChatGPT, then you're not going to have a very strong vision of the future, because it feels like a gimmick. But if you think about what ChatGPT and all the enhanced versions of it can do in terms of coding... a lot of this is going to be under the hood... A lot of it is not obvious unless you dig in.
Finally, Marc urges investors to not get bearish while the S&P 500 Index is having its best year since 1997. He points out that, as the dot-com mania showed us, the bull run can continue for several more years. As long as profit margins continue to rise, you want to be invested. He also explains how he uses his Power Gauge system to avoid doomed stocks. This leads to a conversation about Marc's new upcoming newsletter that will focus on what the "smart money" is buying and allow him to spot "pockets of strength." Plus, Marc weighs in on mining stocks...
A lot of these Power Gauge ratings [for mining stocks] have turned to "neutral" now, just because price has gotten overextended... So from a technical point of view, they're making new highs, but a lot of them are experiencing what we would call mean reversion or at least [have] gotten ahead of themselves from a price point of view.
Click here or on the image below to watch the video interview with Marc right now. For the full audio episode, click here.
(Additional past episodes are located here.)
The transcript is coming soon.