In today's episode, Tyler covers a strong start to the week with back-to-back days of all-time highs across our major indexes. He brings the VRA's trademark optimism and in-depth analysis, cutting through the usual noise and fear-mongering in financial media. He also dives into the latest in earnings, the importance of owning inflationary assets, and why sentiment remains so fearful. Tune into today's podcast to learn more.

Don’t look back because the market is closed. Good Tuesday afternoon everyone. Tyler Herriage here with you for today’s VRA Investing podcast. Hope you all had a fantastic day out there today. Hope it’s been a great start to, to your week this week. Of course, it is tough to complain when you have back to back days to start off the week of all time. Highs from our major indexes. We saw it here again today.

Our only major index to finish lower of course would have been great to see it higher as well was the Russell 2000 here today. So we’ll dive in to all of that and more here quickly. Here’s what we’ll cover today. We’ve got a massive, massive announcement coming out of the world’s largest company and making more room on, on the size of its market cap today with Nvidia. So we’ll cover what this news is and what it entails for the future of tech here as well. We’ll cover a bit of earnings that we’ve seen so far this week. Primarily though, what we’ve got coming as we really kick into high gear tomorrow for earnings. And then of course tomorrow we have none other than, than the money printing rockstar himself, Jay Powell speaking with the latest FOMC meeting coming in tomorrow.

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You know, maybe that explains a little bit of what we’re seeing in sentiment. Yeah, I doubt it. We think it’s been pretty clearly telegraphed what we’re going to get from, from Jay Powell and the Fed tomorrow. And of course, as Kip covered yesterday, we’ve only got a few more months left of this guy in this position until May of next year. So believe me, we’re counting down the days just like you are as well. And then of course we’ll cover our major indexes and their action today are internals sectors and the VRA Commodity Watch. So let’s jump right, right into this action. Well, hold on.

First, you know, if you’re not already a V member, you know, now would be a great time to come and join us here. There’s so much fear in the market. I understand that when you have so many talking heads in the financial mainstream media telling conflicting messages, people like Andrew Ross Sorkin publishing a book about 1929 and saying that the next crash is just around the corner, it’s tough to really tell who to believe, who’s going to shoot you straight in this environment because as Sorkin went on to say from there, he can’t tell you when the next crash is going to be. Can’t Tell you how big it’s going to be. But oh, it’s coming. Be afraid, be very afraid. That’s not how we see things here at the vra. Of course, it’s never a straight line up to all time highs.

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There’s always going to be pullbacks along the way, corrections along the way. But much like we saw from the 1995 to 2000.com melt up when the NASDAQ rallied 580% each one of those pullbacks was a fantastic buying opportunity. I don’t have the numbers right in front of me, but I believe there were five corrections during that time frame of 10% or greater, including a technical bear market. Again, all of them served as phenomenal buying opportunities along the way into the real beautiful melt up top, the parabolic move higher that everyone likes to reference as the dot bombs and they conveniently ignore the phenomenal years ahead of that. Where life changing wealth was made, generational wealth was made. If you’re not in the market, you can’t participate in that kind of action. So just quickly here, Kip and I published our book the Big Bribe just over three years ago. Now in the midst of a brutal Biden bear market, no one was as bullish as we were at the time.

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Very few bulls out there in general. You know, we had people like Paul Tudor Jones calling for a massive recession. A 2008 like collapse on, you know, something worse than 2008 was just around the corner. Of course he predicted that again in 2023 and again in 2024. Here we are now, three years later, the NASDAQ is up 138% from that time frame. So you know, again, it’s tough to tell who to listen to out there. But we’d love to come and have you here. Join us at vraletter.com for our 14 day trial going on right now.

Absolutely no risk to you at all to come and join us. So sign up, send us your emails with questions. We we’re here to help. That is our goal here day in and day, day out is to serve retail investors who as Charles, Charles Payne on Making Money always covers. He did it again today, caught part of his episode today. You know, retail has just been smashing hedge funds, smashing Wall street exactly as it should be here. That’s what we want to see continue.

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We want to help individual investors to absolutely demolish the the stock market. So the reason why I bring that up here is we’ve got a very interesting piece that we’re working on here and a special guest that will hopefully come on this week. We’ll release this to members first, but it’s too good of a story, too big of a story, I should say. Maybe good is the wrong word even, but too big of a story to just keep to our members here. Not maybe not as much market related. So I won’t give too much away here just yet. But we’ll release it to members first and we’ll have it out to the public as well. So come and join us.

We’d love to have you here for that. And I want to make one other point here about individual investors that I talked about in my last appearance on Wayne Allen Root show. I’ll be on again this week for Thursday evening. So hopefully you can come and join us. Very grateful to the fantastic Wayne Allen Root for having me back on his show Warzone, his podcast there on Rumble. So come and join us Thursday evening. Love to have you there. But on my last appearance the night before I was on, he had a guest who just published a book about when the US was taken off the gold standard in the 1970s and how it was a terrible day for Americans, but a phenomenal day, maybe one of the best ever, you know, over a long term period.

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Little hyperbole there and the best day. But that really began this outperformance of Wall Street. It was a fantastic time for Wall street outperformance. But now fast forward here, you know, 50 years, obviously painful for a lot of of investors, painful for a lot of individual Americans. As we’ve really seen no greater divide between the upper echelon of society and the regular everyday Americans, that divide only seems to grow. But now as individual investors, we have the tools at our disposal to not only keep up, but to outperform them. While your dollar will continue to get destroyed because we aren’t on any type of standard. We’ll see if anything like that changes with, you know, the phenomenal leadership we’ve seen with with Secretary Treasury Secretary Scott Besant and of course under Trump as well.

Those ideas have been floated out there. But as of today, we still have a fiat currency in America, which is why we’ve said since we published the Big bribe, you must own inflationary assets. Nothing is has changed in our tune here and pullbacks along the way are to be expected and to be looked at as buying opportunities. So inflationary assets means stocks, owning stocks. If you’re afraid of owning stocks, there’s some phenomenal ETF prod products out there as well we’re working on another exciting announcement here for you specifically in that domain if you’re a more risk averse investor, but the individual stocks are really where it’s at. And then of course owning precious metals, that means gold, that means silver. We like physical gold and silver. Again, there’s some great ETF products out there for those as well.

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And of course one of our favorites which does fall in line with stocks are gold mining stocks. You want to own the picks and shovels just like in tech. We want to see tech outperforming the market and the semis outperforming tech. The semis being the picks and shovels. We love owning the gold miners. And then some more traditional assets like real estate. Phenomenal and absolutely has a place in your portfolio. And then the newest kid on the block, bitcoin and cryptocurrencies.

There’s a lot of of the altcoins out there that aren’t quite prime time players. You want to know which ones you’re in. Of course bitcoin, you want to own leadership no matter what sector that is in. So bitcoin is the leader. But there’s some other great products out there as well. The VRA just made its second ever crypto recommendation in the last few weeks. So again come and join us, we’ll talk to you all about it here. This is what we love to do.

We love having these conversations. I got. I’m grateful enough to have a few of these conversations today of people. You know, when you look at the market at all time highs and you feel like you’re missing out. Well, I’m here to tell you all time highs are not a bearish occurrence. Okay? New highs beget new highs. This an age old saying here for investing. And again, if you’re buying today and it does end up being a short term top, that’s why we’re big believers in monthly dollar cost averaging.

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I’m not being wishy washy here. This even if you bought today, you’re going to be incredibly pleased with your purchase over the next 12 to 18 months. Plus I’ve got another great chart that I’ll share here in a minute on that specifically. So I know that’s a bit of a long intro there. We’ll try and keep it a little short for you here today, but some really exciting stuff happening in the market. Let’s kick it off here with Nvidia. This has been another VRA recommendation here. Phenomenal position, but it is at all time high.

So I get some hesitancy to get into a position like this. It’s the largest company in the world, you know, basically just below a $5 trillion valuation. It doesn’t seem like that long ago that. Let’s see what was. When did Apple cross above a $1 trillion valuation? Was it 2017? I think it was 2017, 2018. I was close. I was close. Hard to believe though that just seven years ago the first company got above a one trillion dollar valuation.

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Here we are seven years later, nearly a $5 trillion valuation. We think that before 2030 we could have multiple companies in the 10 trillion dollar range. Not likely, 2032 or so, but that’s where we’re headed. That is where we’re headed. And you know, it has a lot to do with money. Printing necessary doesn’t necessarily mean inflation has to be bad. You know, you’ve heard us talk about that here a lot as well. The innovation revolution.

Innovation leads to deflation. So just because they’re debasing our currency doesn’t always mean that inflation has to run from red hot as well. So back to Nvidia here because this is a huge step potentially in the innovation revolution. Now the real effects of this might still take years to be felt, but today Nvidia unveiled a new product here. And in addition to an existing product, but a massive addition to it, they had their what was called the NV link. Now the NVQ link has been rolled out which essentially connects quantum computers to Nvidia’s GPU supercomputers. Now I’ll dive into what all of this means here, but quickly the really interesting part to this is again this hybrid model of quantum computing to hard drives in these systems. The goal here is to reduce the error rate.

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You know, if you saw Google’s massive announcement on the 22nd about their quantum systems, the goal here with Nvidia and the speculation is that this hybrid model will help reduce the error rate in quantum computing. So those are the two leaders here. Of course there’s some smaller ones. I’m sure there’ll be many more that you hear about. But especially from the hardware side, Nvidia remains the leader here. And what’s so interesting about this is that it’s an open system architecture, meaning I don’t think it’s quite open source. But Nvidia announced collaborations with 17 different quantum computing companies. So again, the hope here is that this speeds up the timeline of bringing quantum computing into reality.

It’s out of the test lab and into practical everyday applications. So what does this mean? What Does a practical application of quantum computing look like without diving into. You could do hours and hours of a podcast on this. And to be honest with you, I’m not the guy for that podcast. But at a 30,000 foot view, this leads to, can potentially lead to faster developments and new ways of testing, running simulations on new, all kinds of new products, whether that is medical treatments, you know, one just medicines, but treatments for diseases, treatments for cancer could be building new materials, combining chemicals in ways that have never been thought of before, maybe weren’t safe to test all kinds of different ways in a lab. These can be done by running simulations through quantum computing at light speeds. Already that’s kind of one of, one of the, the big quantum test points is, oh, they’ve invented a new type of metal that’s more durable than anything that’s ever been created in a lab. Right now these are tests, these are simulations, but we can bring these things into the world, the real world.

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So, you know, looking at future building materials, looking at new designs for aircraft, rocket designs. I’m a huge fan of, of space. I love growing up, you know, grew up in Houston. So, you know, Houston, we have a problem. Of course, that’s not the case here. This is Houston. We have a solution that truly could make human life multi planetary. Elon Musk’s goal and could hopefully accelerate that process.

So that’s the goal here with quantum computing. That’s the real world application is again, you know, new treatment styles, new new building materials, new designs for buildings as well, bringing all of these things into the real world. And the big news here for Nvidia is that this announcement of the connection, this hybrid model of quantum computing to their existing GPU infrastructure, connecting quantum computing’s abilities to Nvidia’s GPU supercomputers. Again, the hope here is that this put for Nvidia at least, is that it puts Nvidia essentially back in the lead. It’s tough to tell who’s the leader here. Right, I’m sure, again, just like we’ve seen in AI chat, GBT was the leader. Oh, and then this one’s the leader and, oh, actually we’ve got to divide them up. This one’s the best coder, this one’s the best rider, this one’s the best at that.

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Then you have deep seat coming in and, you know, just upending it. All right, so we’re gonna see this back and forth for all of it. But again, the reaction today is really what you want to see. It’s not the news that matters. It’s the market’s reaction to that news and the reaction today. Nvidia in today’s trading and after hours combined up over six and a half percent. Getting above $200 a share here. So up 5% on the day, up another percent and a half in after hours.

Again, it’s the market’s reaction that really matters. And that of course helped our major indexes get to another round of all time highs here today. And again, new highs are not a bearish occurrence here. So before I get to our major indexes, I got to show you what is just so incredible and that of course, as you might expect, is sentiment. We continue to see sentiment in fear mode. Wow, I almost have no words. We’re hitting all time high after. Excuse me, all time high.

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And yet there’s still so much fear in this market. Everyone’s waiting for the next big pullback to get in. And that’s why we believe here or not think that’s why we believe here. These pullbacks are going to remain short and sweet. It’s not until you get to a level like this for weeks and months on end where you’re at extreme greed until you really see a long term market top. So any dips will continue to look at as buying opportunities. Now I have one more chart that I want to share here for you because I think it really probably did a disservice overnight to a lot of people. The put call ratio hit its lowest level since 2020.

I saw a whole lot of comments on this. They’re like, oh, this has me scared. Investors are way too bulled up. So we are seeing some bullishness in the options market. It was above this level today. So here you go. This is from bar chart. We hit a point 64 right in that range put call ratio again, it is the lowest that we’ve seen this.

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It looks a little confusing. That’s February, but this is December of 2020. They cut off their chart here. If I could draw a line here, I wish I could but they cut off whoever posted it. I won’t say who posted it. Cut off right here. While ignoring that we saw multiple, multiple even lower than what we saw yesterday in the put call ratio throughout 2020. This is all after the March 2020 Covid lows.

Again, multiple, multiple, multiple readings below this level. And then if you zoom out on really the major indexes here is what’s important. Oh, sorry, this is kind of tough to see. There’s the. There you go. There’s your reading here. Of what it looked like and to where we are today had to get my face out of the way. So the key point here is all of these took place in 2020.

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Does anybody remember what the market did in 2021? Again, this wasn’t a bearish thing for the market. It was a rocket ship of a market in 2021. Check this out. The NASDAQ returned over 21%. The S&P 500 returned nearly 29% in 2021. The Dow Jones over 20% as well, roughly 21%. So again, you know, to all the fear mongers out there that look at a chart like that and say, oh, people are too bowled up. Well, yeah, I mean that might be a short term kind of thing, but last time this happened, the market went on to rally again nearly 29% in the S&P 500.

And beyond that before we peaked in again the 2022 Biden bear market. All right, so I just had to share that one here because again, people do anything to make it look fearful out there. All right, and one more thing here before we get into our major market action. Just quickly, a lot of exciting earnings coming up. We had some more today here, but really tomorrow, again kicking into high gear tomorrow where we’ve got Meta Microsoft Alphabet. So huge day tomorrow and earnings so far. The blended net profit here for the s and P 512.8% exactly what we were looking for going into this period. Earnings growth of 12 to 15% is what we said at the beginning of this month.

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You know, we’ll see what we get from the major tech players. Again, Meta Microsoft Alphabet tomorrow in addition to the FOMC meeting, Amazon, Apple, Coinbase coming on Thursday and then some more of the, you know, more traditional names, energy names on Friday. So stay tuned, we’ll be reporting on those here as well. So, so again an eventful week all around this week. And so let’s take a look here at our major indexes on the day. Again, all time highs here from the NASDAQ up 8. 10 of 1% and exactly what you want to see. Semis leading the way.

Makes sense with Nvidia up so big on the day, but semis rub 88%. So not quite the huge out performance you want to see, but still good outperformance. Next up here was the Dow Jones up just over 3.10of1% followed there by the S&P 500 up 2.10of1%, just over that again all three of those all time highs today. Now on the Dow Jones we would have liked to have seen the transports acting better today. That’s when we haven’t gotten yet to really participate. That’s when we want to see start acting better. Then we did have small caps to the downside today down just over half a percent. But back to the FOMC here.

When the Fed is cutting rates, small caps tend to outperform the mega caps over the next six months by 5 to 7%. We do remain bullish on the small caps here. And another one that Kip shared yesterday when the Fed cuts rates when the S and p is within 2% of an all time high. We just hit an all time high today. The market is up one year later 100% of the time with really good gains as well. So again we remain extremely bullish here. Next up. You know one factor that has us looking at the market here is the internals.

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Kip covered this yesterday. Today a little bit worse. We actually did have negative declining to advancing stocks on the day to day. More declining the than advancing stocks on the day. Not what you want to see here. Not massive beats though. No two to one outperformance or anything like that. But one day does not make a trend.

Yesterday we still got positive numbers at least. So not good to see these negative numbers here. But we’ll keep an eye on it. We’ll be reporting on it every day here at the market close. Then we did have positive 52 week highs to lows over 3 to 1 positive on the NYSE or excuse me on the NASDAQ to 1 positive on the NASDAQ over and just over 2 to 1 positive on the NYSE as well. But again volume was negative for both the NYSE and the nasdaq. Maybe a little bit of profit taking out there at these all time high levels. That wouldn’t be a huge surprise.

I mean this has been such an unloved move that even institutional money that is in this market, it’s you know that people called the scared money the individual investors. That seems to be the case for hedge funds these days. The retail investors have really been the buy the dip crowd. And we, you know, we want to continue to see individual investors outperforming Wall Street. We love to see that here. Next up, looking at our sectors here on the day today. If you just saw this, you might have thought that our major indexes were lower on the day because we only had three out of our 11 sectors higher on the day Today we were led by tech which hit an all time high followed by consumer discretionary and then materials, our laggards on the day, real estate, utilities and energy stocks. Finally here for today, our VRA commodity watch.

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Let me get a quick refresh of this here gold. You know, back below $4,000 an ounce here. We do expect gold to finish the year above $4,000 an ounce. It just had an incredible run. Of course, the trade tensions easing with these Trump China talks does not help gold in this environment. It’s one of the reasons, you know, that people justify the move higher. It might have led to a little bit of an overshoot to that high there in the short term. In the short term, again, we think this is getting back to a fair valuation of gold after years of manipulation.

So a little bit of consolidation is what I would say here from gold now at $3,968 an ounce. But exactly what you want to see from this group are the miners outperforming GDX, the gold miner ETF up 1.6% on the day to day. That’s what you want to see exactly. Like I said earlier, you want to see semis leading tech, you want to see the miners outperforming gold. So it’s what we got here. Really good to see. We do remain bullish on this group as well. Let’s see here one more point about gold.

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Again, this parabolic move higher is exactly what it’s been, but with rate cuts on the horizon for tomorrow again here and rates heading lower in the future. I mean the 10 year back below 4% here at a 3.98. Historically, gold performs really well in a rate cutting cycle. Really just about everyone. We saw it this year. We saw it in 2019, we saw it in 2007, we saw it in 2000. You can go further back than that as well. Gold performs well in a rate cutting environment.

Silver on the other hand was slightly higher on the day to 47.14 an ounce. Copper lower on the day at $5.16 a pound. Oil down 1.8% on the day, but hanging on to $60 a barrel at $60.18 a barrel. And finally here, bitcoin was higher on the day. Today it was as high as 116,000. Now down 1.27% at $112,861 a bitcoin. Folks, that is all that we have time for here today. Please be sure to subscribe to receive the VRA Investing podcast every day at the market close.

You can sign up at vraletter.com and click the podcast link at the top. While you’re there, check out our 14 day free trial. Got a lot of exciting stuff coming here for the vra. Always great to have you here with us and to our members as well. Thank you as always for being here with us. Until next time, we’ll see you back here tomorrow for the close.