In today's episode, Kip discusses the recent market recovery and his conviction that a "monster move" is on the horizon. After weeks of market corrections, there's optimism in the air as Tesla shows consistent strength. The significance of technological revolutions, particularly in artificial intelligence, and how they could drive future market growth.

Foreign Kip Herriage here with the Daily VRA Investing Podcast. Hope you had a good day. Hope your week was fantastic as well. Nice to end on a better note. You know, we had an ugly open this morning. Dow was down almost 500 points at one point. Finished up on the Dow 32 points. Good recovery move there.

Same thing in Nasdaq, down at 1.240. Finished up 92 points. So look, Tyler covered this yesterday. I’m going to cover this today because we think there’s a monster move coming. Okay, I’m going to just tell you straight up right at the beginning of this podcast. We think there’s a monster move coming here because the setup could hardly be better. Okay, talk about that a little bit.

[00:00:40]:
This is the first week in four that the markets have finished higher. That’s good. We’ve had a three week correction. It’s pretty brutal, especially in a lot of names. Tesla’s been destroyed. It was up big today. We think that’s a great buy. We, we’ve really added our position here.

Tesla’s now our second for our family office, for our family money is now our second largest position only to gold. So we added, over the last two weeks, added 19. We increased our position size by 19% in Tesla. And again, gold is the only thing that we own more of than Tesla. And so I think it’s a real buy low opportunity here. Elon Musk had his all hands on deck meeting last night with employees. If you haven’t seen it, watch over the weekend. The guy is completely unbelievable, okay? And there is no one like him, okay? And I think anybody that’s going to short Elon Musk and try to beat Elon Musk is going to just get their butt whooped.

And so, you know, this is when you, this is an opportunity right here, folks. This is, this is, this is, this is when you, this is when you add to positions. It’s the ideal time to do so. And by the way, I don’t even care. I don’t want to see the stock go lower. But the stock were to go lower over the next week. Two month, two. I just would not.

[00:01:51]:
I honestly, I don’t like seeing it. Let me be clear. But I honestly would just go Buy More then because I know what this stock is going to do in the long run. So anyway, good to see the rally in Tesla. Great job by Elon Musk last night with his all hands on deck meeting. Again. Recommend that video over the weekend front running. Okay, let’s go ahead and get into this.

Wednesday night, our great friend Wayne Allen Root sent a text to the President because of course, they’re buddies. And Wayne and I were talking that night. It was pretty late. You know, I’m a night owl. Wayne’s a night. Of course, Wayne’s got an hour on me in Las Vegas. And we know Trump barely ever sleeps. So Wayne had just told me that, you know what, he goes, most of my texts that Trump responds to at the time, they’re really late because he’s not out.

And he goes, but most other people are. Normal people are sleeping. And I said, really? I said, well, I’ve got something I want you to send him with Wayne. First of all, we’re very good friends, but Wayne’s the kind of guy that will do anything, you know, if you challenge him, he has a hard time saying no. He’s just an amazing guy. And just getting a text from him now, as a matter of fact, it’s about this topic. So anyway, I said, listen, I’m going to. I sent him what I said, I want you to text as the President and Wayne put his magic touch to it.

[00:03:19]:
Okay. Because no one writes quite like Wayne, but in his voice. I’m going to read it to you because this is what was sent to Trump on Wednesday night. We just found out an hour ago that Trump is already saying he’ll be flexible with reciprocal tariffs. That’s the big April 2nd deal. Okay, now keep that in mind when I read to you Wayne’s text that he sent to the President Wednesday night. A group of my close friends are big time traders on Wall Street. He’s talking about us, but they want me to share with you.

If you’re going to settle trade wars, do it by April 2nd. Get the deals in place by then, you can literally crush the bears, most of whom just happen to be Trump haters. How true is that? Right? We know that as fact. You will destroy any and all resistance. It will be all over in a rout. Markets will explode up. Should you strike some kind of tariff agreement by April 2, we’re talking a complete melt up. Now, these are my words.

Your doubters and naysayers and enemies will be routed and demoralized. Get those trade deals done quickly and the battle is over. You just crushed your enemies. This is what we call a bear trap. This is what we’ve been, you know, writing in our letters. Because in my career, I’ve never, I don’t know that I’ve ever seen a bear trap constructed. This More perfectly than this. Talk about yesterday.

[00:04:34]:
This is a perfectly constructed bear trap. The Federal Reserve confirmed this week that the economy is in great shape. Those are, those are pal words. We know that interest rates have plummeted. We know that inflation, the last we had the CPI, PPI, look at oil, $67 a barrel, gas below three bucks. Eggs are happening. Look, inflation is tumbling lower, right? The Fed should have cut. They should have cut on Wednesday.

But you know, we all. They always message in advance. So nobody, no one thought they were going to. It would. It would. If they had. If the Fed had cut on Wednesday, the market would have crashed because that would have told the markets, holy shit, what did they see that we don’t know about? Something bad. Something really bad in the economy is happening.

If they did an emergency cut. So they always message it. Okay, so we didn’t expect a rate cut, but we did expect a dovish Fed meeting and a dovish FOMC statement. And that’s exactly what we got. So, you know, they confirmed they’re going to cut rates at least two more times. Now, as Tyler covered yesterday, Fed futures, cme, Fed futures are three times. And that was kind of our forecast beginning of the year. And so it’s not that we need a lot of rate cuts.

[00:05:52]:
Man, the housing market could sure use it, right? Housing stocks have been weak and obviously interest rates do play an important role. But this economy is strong. Innovation revolution is in the early. I still think it’s in the first inning. I think that’s how big this is going to be. We’re just now starting to see everybody knows what AI is, right? Artificial intelligence. But can you explain it? Can you give us examples of how this is going to make our lives better? No, because most people don’t know that yet. If you use AI like Grok, it’s the AI tool we like to use around here for research.

And you ask Grok, that’s of course, Elon Musk’s AI system. Ask Grok anything, it doesn’t matter. The topic is. And just watch the magic. And so you can actually watch it as it thinks, because that’s what it’s doing. It’s thinking, it’s having an ongoing conversation with, I guess, itself to find the right answer for your question. And so we’re just now getting a glimpse of what AI is going to do for us. But again, we’ve talked about so much.

It’s not just AI, it’s so much technological revolutions taking place more than it’s ever taken place ever, regardless of the time frame we’re talking about. And it’s all happening between now, I say, I say between now and 2030. It’s all starting now. Okay, and it’s going to go on for how many, you know, a decade, two decades I think, I think it’s speeding up is the point. And so as Musk confirmed last night, we’re getting real close to autonomous vehicles. You know, they’re going to start the Cyber Cab, they’re crunching them off the assembly line now, okay, Their new Cyber Cab. No steering wheel, no gas pedal and they start in Austin, that’s when they start testing them in June. And then, you know, they’ll be rolled out in Texas and California by year end all over the country next year.

[00:07:47]:
A full self driving as well. And so that, that’ll be a ramp up process. But you know that Autonomy, autonomous vehicles, not just cars. By the way, Musk talked about this last night as well. Semis, okay, there’s going to be all over the place. And again, Tesla makes all this stuff. And so then of course we have, you know, robotics. Optimus talked about that last night as well.

So yeah, when you talk about the AI, our innovation revolution, frankly, it really kind of does describe Tesla because they have most of these things. But it’s so much broader than that because this is happening across every industry. Again, technological, technological, technological change. Let me get a drink here. Changes in technology we’ve never seen before. And it’s only going to continue to ramp up and make our lives that much better. I must spend a lot of time on that last night. But it’s much broader than just what Tesla provides is the point.

And I think within 20 years there’ll be no disease. You won’t die of cancer, you won’t die of anything. In 20 years, genetic research will have figured that out for us. So we’re all going to live longer, we’re going to be having more fun. Robots will be doing the heavy lifting for us, literally. And you know, look, I think we all making a ton of money, okay? I think if you, if you are just a common sense investor and you’ve got a little bit of money, I think buying into what’s happening now is going to make you. This is the biggest bull market of my career. I’m more bullish even with this correction, more bullish than I’ve been at any point in my career.

[00:09:20]:
All right? And I’m not a perma bull, believe me. We make money on the short side too. But this is not the time to do that this is not. Trump has a bear trap that’s so perfectly constructed, his haters are sold their positions, they’re short Wall street hedge funds. Fund manager, because it’s all group think. They act as a group. We saw it this week from the, as Tyler talked about the bank of America Merrill lynch fund manager survey confirmed for us this week record levels of selling of US securities to buy European secure stocks. What? That’s going to be a bull trap, okay? People that are now loading up on European stocks and selling US Stocks, they’re going to find out they made a mistake here pretty soon because the US Is the place to be.

There is just no doubt about it. We’re not a socialist country now. We got the right president. He’s got an administration that’s the best administration, most talented, smartest administration when it comes to business of any administration ever. Tariff thing is a joke. I’m just going to tell you straight up, it’s not a joke. From the point that people aren’t worried, people are worried about it. And so that’s not a joke.

Obviously it hasn’t had an impact on the markets. It’s had an impact on animal spirits, no doubt. But that’s only because the media is so damn good at propaganda and indoctrinating people. And that’s what they’ve done. It’s been 24, 7. Tariffs don’t work. They cause inflation. How many times you heard this? You know, the media repeats anything enough, the average person starts to believe it.

[00:10:53]:
I’m just not the average person. I’ve been around so long now that no longer impacts me, but still, you know, it still impacts even me to a degree because it’s everywhere. And then when the markets fall, you know, we have our correction of 10% or 14%. Nasdaq, Tesla down 51%. When these things happen, you start questioning your own research and you start going, what did I get wrong here? Because the markets are never wrong, right? If you, if you call the markets wrong, that’s, that’s your first problem. So you got to pay attention to market direction, but also understand that corrections are part and parcel. They are normal. They’re a healthy part of every bull market.

So this is normal action. And so the point is, this bear trap has been constructed. It’s got all his enemies either out of the market or short. They’re rooting for this thing to keep going. They want inflation to come roaring back. They want to be short and make all the money on the short side because they haven’t had many Opportun to do that. And they hate Trump anyway, so that’s a bear trap. Think about this.

Trump is one at everything except one thing, right? He’s got all his people, all his cabinet is in place, right? He’s one. Look, he just. Look what he’s done with dei. How about last night, what he did yesterday with the Department of Education? This has been one of those sacred cows that the left just thought was sacred, that had to be protected. And it’s manly and it’s. The process can take time, but that’s what we always wanted a good Republican president to do, was get the money and the power out of D.C. and return it to the states, because then you empower them and you give the administrative state power. We wanted to defang that.

[00:12:40]:
And so that’s how you do it. You take the money out of federal and you bring it back to the states. So Trump’s winning at everything he’s doing. There’s just one thing that he hasn’t won at. Guess what that is. The market’s gone down. That’s it. Name something else that he’s lost at.

And I don’t think you can. Nothing big. So all Trump has to do is what Wayne texted him, just pivot. Give these countries. Tyler covered this yesterday. Give these countries the ability to save face. But you can already say, we’ve already won. Look, the border’s closed, so thank you, Canada.

Thank you, Mexico. The number of people dying from fentanyl is way down. Thank you, Canada. China. Thank you, Mexico. Right, and they’ve already. Tariff work has already happened. The process has already started.

[00:13:33]:
So Trump could let them save face easily by April 2, that deadline. And then if he does that with, with the number of people short this market and out of it, the. Again, there’s all these sentiment surveys confirm this. Okay, we’ve got the. We got record levels spread between bulls and bears in the AAI investor sentiment survey. Four weeks, three weeks of the, of the market, of the Fear and Greed index being at extreme fear now, I’ve never seen that happen before. Maybe it happened during the pandemic, but I don’t even remember that. That’s how extreme this is.

So I’m telling you, folks, this market is set to rock and roll. We got a good Fed meeting. They know they’re going to be cutting going forward. They confirmed that. While also saying that the economy’s strong, inflation’s moving in the right direction. You know, they’re going to worry about tariffs. There’s that, Oregon. But this is the Environment.

And guess what’s coming up. We got Q1 earnings coming up. I’m telling you straight up, they’re going to be outstanding. Now on the guidance and on the, on the analyst calls, they’ll probably use the word tariff a thousand times. Okay. So it’s not that it’s not in their heads, but business is not really being impacted by this. So we start with the bank earnings. You know, the first report second week of March I think it is.

[00:14:54]:
So we’re two, three weeks away. And so the point is, in addition to his bear trap, we have people that are now the smart money is front running the market. That’s what happened today. It’s what happened this week. All the big declines got bought. Good smart money hours, certainly a really good one today. So the smart money is already taking action. I’m spending time on this just to explain how our thought process works and the way we see things because we like, we’re pretty good at getting turns.

Okay. I think we’re catching a turn here. I think we’re catching a turn here. And one more thing you can watch. You know, we key off of the internals, we key off at the semis because they lead everything. The semis were down today, by the way. But again they, they’ve been a horror story themselves. We, and we about to kill what we call fifo.

First in, first out. Tesla was the first stock to start going down. Now look what Tesla’s doing, right? It’s up 30 bucks from the lows. Okay. You know, this week. So this is, this, I think this process is starting. We do want to see the semis kick in. I, I’m fully confident that’s going to happen.

[00:15:58]:
But the internal has been better. Smart money hour has been good. Tesla first in, first out’s working. Tech stocks are coming back. The semis will. And so again, I think the turn has begun. That’s the point I’m trying to make here. I know I’m over making it, but there we go.

Oh, tomorrow I’ll be on Wayne Roots show tomorrow on Real America’s Voice. It’s at noon Eastern standard time. If you’ve got a few minutes, love to have you watch that and give us your feedback. Always great being with Wayne. He is absolute best. He’s just a rock solid guy, salt of the earth and love the guy like, like a brother because that’s how kind of how we see each other. Very few people like Wayne Allen Root and my other great friend Mark Bruner. I know I got to tell You.

I know two really special people and I know we all have someone like that in our life, but these two guys, you know, outside of my family and close friends, but Mark, you know, Mark and I go back over 30 years. Wayne and I have been back 22 years, and just a really lifetime, lifelong friendships now. But these are some interesting characters that think in ways that my brain does not work. And so it’s just, it’s a joy and it’s, it’s important for me to be around them and have conversations with them to see how they think, because they see things I don’t see, and I think it’s vice versa. I see things they don’t see. So it’s a. It’s a great friendship. And by the way, our birthdays are all one day apart.

[00:17:22]:
Bruner and my birthday are the same day, of course. He’s the CEO of Lost Soldier Oil and Gas, which we’ve done a lot of work with, of course. Very exciting. And some big news coming there. By the way, found this out today, so we’ll have a Zoom for all of our Lost Soldier folks. I think we’re going to do it this week, probably Thursday night, give everybody time to be on it. And there’s some very good news coming, folks, and some very, very, very good news coming here. And I’m not overstating it.

That’s. I want to tell you so bad, I want to say it so bad, but I’m going to save it. I’m going to save it until we have our Zoom meeting. And of course, he was also the CEO of Ultra Petroleum, which was my number one, my biggest hit of my career to this date. That’s still the case. Bruner started it. He founded the company. In nine years, the stock went from 15 cents a share to 200 a share.

A $10,000 investment turned into more than $13 million. And I had my clients in this heavy. So it really made my career and it was really on the first big deal that Mark and I had work. Anyway, we have a lot of good things going on here and very happy about that for all of us, believe me, because if we recommend it, we own it. That’s. Anything else would be hypocrisy. So if you’re as I’ve responded to some of your emails, a couple people saying, man, this, this hit in Tesla is brutal. I’m getting destroyed.

[00:18:41]:
And my only reply can be, multiply that times a hundred. I feel your pain, because I do. You know, we do so. But again, the story hasn’t changed. So that just means buy. Right? That’s just, that’s the way smart money, I think, I think it’s worked for us. And it’s not easy to buy when something’s down 50% and you know, in a couple of months. But you know, that’s Tesla number one.

It’s always been that way. So very bullish about the market. I think we got a great setup here for a, for a short squeeze, a bear trap, front running, starting and I think it’s already started. All right, let’s take a look under hood. I’ll keep this quick. There was not a whole lot happening here that I need even in, to get into. Turtles weren’t great today, but it depends on which you know, NYSE weren’t. Weren’t great for, but, but much, much better for ny.

Nasdaq, NASDAQ volume was actually flat on there. Remember we were down sharply earlier and these readings tend to, to build up internals from 2 to 1 negative. We’ll just leave it at that sector wise today also not good. Eight sectors lower, three finished higher. No real damage done either way. Nothing down or up more than 1% on the day. A commodity watch. Look, if we’re right about this, about this, this term coming in the markets, remember a lot of people own gold because of tariff damage.

[00:20:02]:
Potentially it’s a hedge, right. If Trump does pivot, gold’s going lower. And I hate to say that because we love gold so much. And the miners, by the way, I don’t think the miners have to go lower at all. They’re ready, they’re already moving. But again, any serious, I don’t think we’re looking at serious gold weakness. But if Trump does pivot on tariffs, there might be a reactionary move lower in gold. A European stock could go lower, US Stocks will go higher.

That’s the relationship you need to be aware of. Okay, I, I think that’s what’s going to happen here. But again, that’ll just be an opportunity to, to buy some more gold and silver and, and miners, if that happens. Right. Or if you want to play the rotation, I think, I think you could probably, you could probably do that now. Honestly, I think that’s probably a pretty safe trade. We won’t be doing that really, but I think that’s probably a smart trade because everything that’s happened, it’s about to reverse, if you understand what I’m saying here. Gold today down 15 announced at 3028.

Silver down 46, announced at 33.53 copper today down. What is that? Not even a penny a pound at 510 copper’s had a very good run here, Dr. Copper, as Josh Foley, our resident marketing expert here, loves to call it. And crude oil today was up 24 cents a barrel at 6794 again down from 80. Down below 70 again, that’s inflation. Gas below $3 a gallon, it’s all going the other way. Which is what Ludnick, which is what Scott Bessant and what Trump has been telling us going to happen. They’ve all been saying we’re going to do this.

[00:21:35]:
And guess what? They’re doing it. So again, Trump’s winning in everything except the bull market. We expect that to change soon. Finally, the day bitcoin flat on the day 84,003 73. Again, we’ve had a risk off move lower. Bitcoin is a risk on risk off asset. It moves with nasdaq. Okay.

And it moves with the semis. So, you know, again, we expect that all that to reverse. I would. We are buyers of bitcoin here, by the way, so definitely want to keep add to that position when you can. All right, folks, that’s it for the day. Hey, hope you had a great week, an even better weekend, and we’ll see you back here again Monday after the close.