Don't Get Shaken Out of These Two Big Trends

Dear subscriber,

Wall Street just got skittish on the two biggest trends of 2025... AI and gold.

Stocks like Alphabet (GOOGL) and Nvidia (NVDA) were down 4% at their lowest points this week, while CoreWeave (CRWV) dropped as much as 14%.

It seems the closer a stock was to being a pure play on AI, the more it fell.

Gold (and other precious metals) followed much the same path, declining more than 8%.

It was a very different sentiment from where I was this week – at our Stansberry Conference & Alliance Meeting in Las Vegas.

Our annual conference – hands down, one of my favorite events of the year – is where we meet with hundreds of readers to share our biggest ideas and recommendations for the coming months and year.

We also bring in top-notch experts and speakers to help us dive deeper into the topics investors really need to understand.

This year, we heard from tech journalist Kara Swisher, Seabridge Gold (SA) CEO Rudi Fronk, TwinFocus adviser David Daglio, BCA Research Chief Strategist Marko Papic, and more.

And as we met, the markets turned on us...

AI stocks and gold (as well as other commodities) have been the only stories you've needed to track this year.

But this week, that view got shaken. Both AI stocks and gold struggled.

It's clear to me that this is just a breather. Here's why...

The closer you are to these trends – and the more you know about them – the more apparent it is that the market's not done driving AI and gold higher.

That's what we learned at the conference this year. (And indeed, Alphabet, Nvidia, and CoreWeave recovered most if not all of their losses by closing bell today.)

At the conference, we heard directly from Peter Diamandis – a leading futurist and tech investor with an incredible track record. And he anticipates that we'll see as much innovation in the next 10 years as we did in the past 100.

But it's not just AI cheerleading. We dove deep into whether or not the economics of AI make sense...

The market still needs to grow (a lot) for AI revenue to pay for AI spending. Our own tech expert Josh Baylin pointed out that, yes, AI infrastructure spending is massive. But you also have to realize that once a big, new data center is built and turned on... it's booked up and running at 100% capacity.

In other words, we're not building overcapacity – the demand is there. And we're using every bit and byte from these massive data centers.

If the AI boom is following the path of the rise of the Internet, we're closer to 1997 than we are to 2000. Even though headlines called the Internet bubble early, stock prices kept inflating for years.

With gold, it's much the same story. The metal pulled back a bit, but its run isn't over yet.

We spoke with the CEOs of gold-mining firms, mining investment experts, and top-down investors who follow broad market trends.

And while they all agree that gold has made a big move higher, they also point out that all the factors are in place for its rally to continue.

Most importantly, everyday investors and Wall Street still aren't excited about gold. They're hardly paying attention to it.

We're waiting for that before we worry that gold has reached a top.

That doesn't mean there's no risk in these trends. And you should always size your positions accordingly. But don't change your strategy just because gold and AI have "gone up too much."

Their stories are far from over.

What Our Experts Are Reading and Sharing... 

This week, I want to share some resources from our conference guests that I think you should check out...

• "Downtown" Josh Brown, of CNBC and Ritholtz Wealth Management, joined us at our conference to talk about his great new book, You Weren't Supposed to See That. He shared a lot of practical advice – but his best takeaway was to try and put your worries aside and enjoy this bull market while it lasts. These are supposed to be the fun times.

• You should also check out Sinéad Bovell's new podcast, I've Got Questions. Bovell has made a name for herself as the "AI educator for non-nerds." In particular, I like this interview with economist Ajay Agrawal, talking about how AI will affect jobs.

• We also had a bit of entertainment from Alan Zweibel. He was one of the writers for Saturday Night Live when it launched and has maintained an illustrious career as a comedy writer. (I've no doubt you've watched much of his work, even if you don't know his name.) He gave a touching and funny talk about his magical career – and you can follow much of it in his terrific memoir, Laugh Lines.

New Research in The Stansberry Investor Suite...

At Stansberry Research, we track a phenomenon called "Magic Stocks."

Magic Stocks meet a certain set of criteria that leads them to produce market-beating gains with much less volatility than the broader S&P 500 Index.

Finance professors will tell you that this concept isn't possible. They say that in order to earn returns higher than the overall stock market, you have to take on more risk.

But that simply isn't true...

Our back testing shows that portfolios of Magic Stocks beat the broader market by an average of 7.5 percentage points per year. And stocks like Hershey (HSY) and AutoZone (AZO), which have qualified as Magic Stocks in the past, have proved to vastly outperform the broader market with less volatility as well.

The thing is, stocks that meet our stringent criteria are few and far between.

This month, though, Mike DiBiase highlights a company that's fast on its way to becoming our next Magic Stock.

As you'll see, this company meets all of our Magic Stock Monitor's stringent criteria... except for one (which it misses by just a hair).

What's more striking: The market considers this company a victim of the AI revolution... but a deeper analysis suggests it will actually benefit from it.

Mike breaks it all down in this week's Investor Suite research, which subscribers can access here.

If you don't already subscribe to The Stansberry Investor Suite – and want to learn more about our special package of research – click here.

Until next week,

Matt Weinschenk
Publisher and Director of Research

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