My biggest issue is how everyone’s bills and cost of living rises drastically but pay and opportunity decreases. Don’t understand how they expect the average person to survive at all.
They don't expect us to or care. Bidens goal is to erase the middle class. The poor has hundreds of dollars in food stamps every month & free insurance ect. & The rich can afford but in between that - we're screwed.
The golden rule of investing generally is "diversification". You shouldn't put all your eggs in one basket. A friend of mine lost almost half of his inheritance in the Luna btc saga. Personally, as one who has been into Real Estates for as long as I can remember, I made my first million earlier this year from stocks and NFTs alone (through the help of a pro though). I also experiment with a couple of other things. Imagine what the situation would had been given the real estates market if I were solely banking on it.
@@Brussardjnr Funny enough, I can honestly relate. It takes some level of decisiveness and discipline. I don't know if I am permitted to drop it here, but her name is "Sandra Yvonne Webster". Was in the news a lot in 2018. You may check her out online for more.
@@kathleenstoner.n7499 I listened to Sandra Y Webster's podcast on Nft bubble last Tuesday. She's vast i give it to her though I haven't worked with her. Learnt she's a top director too.
Upper class becomes richer, middle class sinks into lower class, and the lower class begs the government for assistance. This is planned not an accident.
As a financial newbie, I gotta say, I came to youtube hoping for an explanation on today's actions and was thrilled that this was already up. Thank you.
Pro tip : don't watch people who cause panic. They're no good for ya. They're also only trying to take your money after making you panic. Any information - correct or false - which comes along is purely a side effect.
Good advice. People get caught up on when the truth wanders down these people's path. "They were right about X that means they're right about Y" They don't realize it's purely coincidence. Even a broken clock is right twice a day.
Small rate hikes, fed still buying 10 year bonds so inflation is here to stay. This is all and has been planned but nothing new. Poor stay poor, rich stay rich and middle class gets the shaft.
Every time the Federal Reserve raises rates the market rallies that day and then the next day it plunges and wipes out all gains. It did the same in May and it is being repeated today.
@@lrfcarreviews2570 I thought we hit bottom and I bought yesterday but it's clear it's not a bottom. I sold today lol. Not waiting around. I will give it a little bit longer. I plan on high dividend stocks that are fairly secure. Not taking chances 🙂
@@rajeshupadhyay5683 lookup Priscilla Dearmin-Turner, this is her name online, she's now the real investment prodigy since the crash and have help me recovered my loses
Thank goodness I have paid off all my credit cards and car. I don't owe anyone a penny. I live 5mins from my job. I am saving a ton a money. I am not feeling this inflation. Thank God.
I work in fiance as a financial consultant, ur videos help me greatly, regaudless of what my company tells me. Really glad i found your channel. Gives me a nice glimpse out side the forute 500 companies i work with.
honestly the dollar wont be going back to where it was pre 2021. hopefully the power of the US dollar will get fixed and the price of everything will go down a lot but we probably wont see the prices we saw pre 2021. I'm not pointing any fingers but I will say its a huge shame that we even had to go down this path. Good luck to everyone
That's what I was telling my neighbor that has been waiting to get a new used vehicle. People don't seem to understand this is the new level we will be at for the next few years. Even when we do see prices going down it will be nothing near what it was because corporations realize they can keep the prices high if their profits are still there.
@@augere9620 used car prices will crash due to the high amount of sub prime loans given out the past two years. There is a record level of repos going on at the moment.
Housing prices from just 2019 to now has been so ridiculous that it was almost better to buy at the higher interest rate on a house that was worth 200,000 in 2018 cause that same house now is like 400,000 now. Insane.
I mean basing your entire societal structure over a made up piece of paper that only has value because we collectively willed it to have as much was doomed to failure. Rather than idk actually focusing on the important things. Sad that we as a species can't understand that we need to move past money being the driving factor of our existence.
People need to start looking at average household debt rising to historic levels in the past month. When the limit is tapped and variable interest rates kick in it's all over.
I used to watch ur videos a lot in high school and didn’t really understand a whole lot other than to save ur money and invest rationally. Now I’m taking an econ course in college and everything is clicking together 🤯
To be Frank though, higher interest rates mean deleveraging the market. Institutions will have to pull their stock to cover the increased interest. It reduces profitablity in the market.
Its the only way to fix the system though I'm afraid they will have to go a lot higher on interest rates before it succeeds. I'm shocked they actually did it.
The problem is, FED is in private hands and they don't care about strong market, employment or anything regarding our wellbeing, just the opposite, they will do anything to make them richer and more powerful to our detriment.
“Who controls the food supply controls the people; who controls the energy can control whole continents; who controls money can control the world.” - Henry Kissinger
They should've raised it by a full percentage point today. At this point they're just reacting to the CPI report rather than actually predicting and understanding the scope and speed of rising inflation.
no surprise at 75. I suspect it's still not enough to avoid the pain we've set ourselves up for with GROSSLY irresponsible fiscal policy. 4:50 "proof that anything could happen, and to take .... with a grain of salt." True!
lets see 15-18% interest rates on mortgages and we are back where we came from before the first bubble in 2008 and now the new one which is even larger... just ripe to burst... it's gonna be fun
I use to always watch your videos but I don’t even click them anymore. So tired of seeing negative depressing looking thumbnails. I looked at your video list and it’s pretty disgusting seeing that for every single video. I rarely ever leave UA-cam comments but i thought I’d give some genuine feedback. I understand negative news sells but bro come on. Every single video with a negative depressing thumbnail. Hope you take this unsolicited advice into consideration.
If you watch until the end of every video the message usually ends on a positive tone along the lines of, stay the course, keep dollar cost averaging, no one knows what tomorrow brings, but hopefully this information helped you. That’s pretty positive to me. He uses a standard social media attention tactic by using a negative headline/thumbnail/etc. to get you to click but if you listen closely he is not that negative. The contrary in my opinion.
We are in a crash? It ain't exactly a positive thing my dude. Yeah the titles are a little clickbaity, but that's how youtubers get their bag. The positive/negative observation is a bit silly. Unless of course you want to lul yourself into a false sense of security, if that's the case watch cnbc.
I feel bad for those who bought a house in the last couple of months. They will be locked at their houses for over 20 years. Let me explain why. Price drop is 20% of total houses, inventory is up, and everyone know we will have at least 10-15% price correction in near future. If you buy your house with at least that price reduction, even if with high interest rate, your monthly payment will be lower vs buying a house with high price and low interest rate. Also, if you buy the house cheaper with high interest rate, you have the option to refinance it later and you can deduct interest from your tax. There are tons of benefits to wait and get a better deal vs being emotional and cry later.
I'll chime in. I'm glad you brought this up. Me and my fiance currently bought a home. We close escrow this upcoming Tuesday. Sure we could have waited for the market to crash, which it will. The only thing is when? When will houses drop drastically? Even if it drops tomorrow, with the amount of money we make, we have a lot of cushion where we won't be up to our eyeballs in our monthly mortgage payment. With that said, buy when you are ready. We both have very stable careers and we both don't plan to move anytime soon. Specifically in the area where we bought, prices do not drop by much as it is a highly desirable area to live in. In addition, I was just throwing money away at this point paying someone else's mortgage while renting. Even if the market crashes, we're not sweating it. We didn't want to have our lives in pause any longer as we plan to start a family soon. However, this is a calculated risk on our end and fortunate for us, we are in a great financial spot regardless of what the market wants to do.
This was only recently expected once CPI numbers came out, and analyst begun to price in 75bps...hence why the market is down significantly over the last week, even though it's up marginally, today.
I think it's important to note that our supply for housing is still extremely low and we need about 4-5x the supply in order to see significant reductions in prices. From what I'm seeing and after listening to several real estate experts, it appears that price cuts are only for those who overpriced their properties to begin with because they expected to still sell above market value. I could possibly see a slight correction but not every market is going to experience this.
@@GrahamStephan Redfin released some really good data talking about how migration over the past couple of years has influenced housing prices which could apply this year as well.
The rates will hit builders which will reduce housing stocks even more in the future. Combined with less construction during covid & higher costs, housing will do extremely well.
I am terrified !!!! But thank you for helping me understand the coming woes. Best to be safe then sorry. So being prepared is one key. Another is understanding what is happening, which is where you came in. So thank you. Be well everyone.
I'm taking advantage of the current vehicle market situation to sell my spare car (at 2x it's value) and zero out my CC debt. These interest rates will F over any one carrying a decent size balance
People don’t get into debt because they feel like it, they get into it because salaries aren’t enough to cover their basic needs so they have no choice but to get into debt. Low interest rates compound this because institutions encourage people to get into debt. Quantitive easing further degrades your spending power and transfers wealth onto assets. Heightening the problem for the average person and benefiting the rich. The system is rigged. They cause the problems and then react to them and that’s not even getting into all the market manipulation they do and the amount of insider trading at the top. Blaming the consumer is like blaming someone for breathing
Rent rarely ever decreases, even in a recession. Your best bet is to start storing any cash you can aside so when the market chills out you are in a position to buy something. Also make sure you credit score is 700+ by that time as well
Housing market will crash soon. Its inevitable when the costs rise above what can be repaid, invariably loans get made due to the inability to purchase and those loans cannot he paid back for the same reason. This can only happen for so long until the support crumbles
What about the average American who's just trying to put food on the table and gas in car . Some people don't care about who makes or loses money in stocks
The average American are poised to face rising costs,retrenchments and shrinking profits across most businesses. This affects consumer spending negatively.
Ummm, the appeal of cryptos (inflation hedge) has been utterly obliterated this year. As inflation fears increased exponentially then cryptos sold off in direct proportion.
@@JordanDurzi cryptos are a currency, not an equity or commodity. There are no earnings with which you can quantify value only supply v demand. But the meme that they are an inflation hedge is bunk, they aren’t.
@@thirdplace3973 That's not what inflation hedge means. It means when inflation is out of control it is better to hold it. This has been true while the gov. is printing money and not raising rates. Now that things are going the other way...get it? Inflation is not prices btw. Inflation is amount of money in circulation. CPI is a LIE.
@@dsap4004 Dude, the only way something can be a hedge in investing/finance if if that asset mitigates risk or lost gains of another asset. In order for something to be a hedge against X it needs to maintain value or increase in value/demand when X declines in value/demand. A real inflation hedge asset will gain in value in direct proportion to the value loss of a different asset. Cryptos are not a hedge. Edit to add: No, inflation is function of supply v demand. Devaluing the USD by dilution is different and the USD value is increasing not decreasing.
@@codythrive5154 Exactly where is the growth going to come from, if people are constantly strapped for cash due to consumer prices inflating, with historically high maxed out credit card rates, and higher interest rates on margin loans? People are going to deleverage the market!
@@KingDingus92 Yep, the market was hanging on every word, Powell said something about .50 wasn't off the table for July, and the dow went from down 150 to up 350. The Fed slipped this information about a .75 increase after a terrible inflation number (something that is illegal as they are supposed to be in a quiet period) Market reacted Friday - Tuesday. As you said it was expected and priced in.
This is a zero-sum game. Either the people wake up and fight against tyranny, or there will be chaos and destruction. Out of this game we either go into another golden age, or we fall into a dystopian society.
I mean, the markets weren't shocked at all cause the 75bp hike was already kind of 'leaked' on monday and got completely priced in. plus after the cpi report I don't think anyone expected any less. Great info though Graham, just don't think the markets were shocked
I think the market was actually happy with the result too. We finally get to see the Fed make a serious effort to beat inflation rather than the baby steps that haven’t been working.
where im at it when from 800 to 900 for a small home rental and shot up to 2200 for a 3 bedroom apt. Over all pay is between 13 to 20 and not the most jobs that pay high. But some number of wealth here, it sucks and the rise is going to suck
If you pay any attention whatsoever, borrowing was your choice - hopefully as by evaluating worth of education as an investment in your future earnings. With high inflation, value if the money you owe is dropping fast. Perhaps you mean that you invested in student loans, meaning you are a creditor. If so then you were foolish to lend money at fixed rates while rates were low. Unlike borrowers you are getting screwed by inflation. Rate increases hurt you in short term, but to extent they reduce inflation they help you in longer term.
“If the American people only understood the rank injustice of our money and banking system - there would be a revolution before morning.” ~Andrew Jackson
You know, I’m becoming click-bait immune: the more graham does it and ramps up things up vis-a-vis sensationalism, the more I’m disinterested in watching. The closer I get to smashing the ‘unlike’ and ‘unsubscribe’ button. The more speculative and emotional he goes on about things the less I care, because he’s not actually helping, he’s keeping you on a hook. The Fed raising interest rates? Yawn. Wake me up when the market actually crashes. Then I’ll be concerned. I’m too busy dealing with the daily affects of inflation and residual pandemic bs.
So does that mean businesses are about to collapse since people won’t be able to afford nothing but their necessities because I cut all my subscriptions and reducing everything else I don’t need…..???
I’m a Millennial and I do feel bad for saying this, LET IT BURN!!! I’ve been screwed over almost every part of life necessities. (Homes, cars, fuel, jobs, and love life) Most of these were my fault but it was because the experiences my parents had and from their advice. Word of caution to all millennials, don’t follow what your parents did to become successful. Times have completely changed from the boomers and X gens. I say let it all burn to the ground and let’s start fresh.
I've been on the sidelines since Sept 2021. I missed some upside but have dodged all of the downside, for now. I expect recession at this point. Like you said, I'm waiting to see that greed become despair. Thats the moment the bottom is in! Real Estate.. that might take a couple more years to shake out.
I am always amazed that most of your videos are sponsored yet you make amazing money from UA-cam ad revenue. With the amount of advertising shoved down our throats by UA-cam on its own it makes hearing your ads that much more painful. Miss your old videos….
Yayyy more rate hikes! I think this is a better time than ever to dollar cost average into the market if you have the capital to do so. I wish I had more spare cash on hand to do just that, but for now, my plan is to continue averaging into the market with each paycheck as usual.
@@networth00 I am not a fan of trying to time the market, so I choose to constantly dollar cost into the market whether it's up or down every two weeks. That's just what works for me, but everyone has their own method!
@@prohaxprofessional722 Assuming that is the case, I will happily continue to average into the market through that dip as well! I never deploy all of my capital at once, so I am comfortable with doing this. Everyone has different strategies, time horizons, time to research, etc. but for me, this is the method that works for me and has been proven to work time and time again in the past. I appreciate your thoughts!!
As someone who has nothing invested yet but savings going up I’m in a position to wait and keep earning till everything is really low and start investing
The market wasn't shocked dude, everyone was expecting this hike which is why there was a sell off on Monday and the markets are up today. Most managers I've spoken to have been expecting a hike of 50-75 basis points and have been pricing accordingly.
Graham - Did you know that mortgage-backed securities went 'no-bid' last week? You should research the effect that is about to have on the housing market!
So … this video was a year ago. Pro-tip? Don’t panic… 🤣 I’m not panicked but reality has set in. I’m definitely more prepared than I was a year ago. Thank God! My advice, take it or leave it… prep, pray & keep prepping (without panicking of course).
It's a good thing that my family is almost out of debt. By the end of this year we might be in the green with about 3-4k coming in every month. The last thing to do is fix our credit history.
2:17 You just yadi-yadi-yada the important part that will shed the most light on this situation. The Fed increases the rate banks can charge each other and that somehow makes it to me who doesn't have a bank account at all? From what I can tell, banks don't make most of their money lending to regular people so why does their rate affect the biggest driver of economic activity (ie. consumers)?
Credit cards, car loans, personal loans, mortgages all go up which affects consumers costs and spending power. Businesses get charged higher interest and they pass costs onto consumers. That’s how.
Many bought homes the last few years. This steals what everyone thought they had. Upside down in your house and jobs deceasing. Prices going up. Build back better… you will own nothing and be happy. That’s literally on their video.
0.75 was priced in as within couple of hours as soon as CPI report came out. Futures also reposition to that as well. Todays expectation was 0.75. Anything lower, shock and anything higher as well.
I personally think most of the inflation is a short-term issue driven by corporate greed (e.g., disconnect between $/barrel of oil and gas prices) and supply-chain issues (e.g., clothing, electronics, cars, food) and once things stabilize it will come down.
The prices of everything just keeps going up. at this point just buying in bulk is an investment.
Haha, funny…
HahahahH
Hyperinflayshi here we comee!
Yes actually true
Very True. You should absolutely do this.
My biggest issue is how everyone’s bills and cost of living rises drastically but pay and opportunity decreases. Don’t understand how they expect the average person to survive at all.
Exactly
That's exactly the point, reduction in population = control
They don't expect us to or care. Bidens goal is to erase the middle class. The poor has hundreds of dollars in food stamps every month & free insurance ect. & The rich can afford but in between that - we're screwed.
Vote blue, get blue.
Spoiler alert, we're not supposed to survive.
Bitcoin was supposed to be a hedge against inflation. What happened?
The golden rule of investing generally is "diversification". You shouldn't put all your eggs in one basket. A friend of mine lost almost half of his inheritance in the Luna btc saga. Personally, as one who has been into Real Estates for as long as I can remember, I made my first million earlier this year from stocks and NFTs alone (through the help of a pro though). I also experiment with a couple of other things. Imagine what the situation would had been given the real estates market if I were solely banking on it.
@@Brussardjnr Funny enough, I can honestly relate. It takes some level of decisiveness and discipline. I don't know if I am permitted to drop it here, but her name is "Sandra Yvonne Webster". Was in the news a lot in 2018. You may check her out online for more.
@@kathleenstoner.n7499 I listened to Sandra Y Webster's podcast on Nft bubble last Tuesday. She's vast i give it to her though I haven't worked with her. Learnt she's a top director too.
@@Brussardjnr NFTs” are overpriced. What if you lose your investment? put your money into something smart.
@@sonyablack2015 Like what? Till then I keep benefitting from NFTs And please quit discouraging others it's unwise.
as an econ nerd, I appreciate you actually explaining fed funds briefly
The crazy thing is even if Stephan loses all is money in investments, his UA-cam income out earns 90% of the world annually. lol
Upper class becomes richer, middle class sinks into lower class, and the lower class begs the government for assistance. This is planned not an accident.
:/
@@GrahamStephan "You will own nothing and you will be happy" - WEF, and here comes gun control... right on time
Unfortunately that is what appears to be happening
@@GrahamStephan do you agree with Jacob’s assessment?
long term Pump and Dump scheme.
As a financial newbie, I gotta say, I came to youtube hoping for an explanation on today's actions and was thrilled that this was already up. Thank you.
Aged well
Pro tip : don't watch people who cause panic. They're no good for ya.
They're also only trying to take your money after making you panic. Any information - correct or false - which comes along is purely a side effect.
Good advice. People get caught up on when the truth wanders down these people's path. "They were right about X that means they're right about Y" They don't realize it's purely coincidence. Even a broken clock is right twice a day.
amazing mindset. Thank You !
Small rate hikes, fed still buying 10 year bonds so inflation is here to stay. This is all and has been planned but nothing new. Poor stay poor, rich stay rich and middle class gets the shaft.
Every reaction is an over reaction
You can ignore reality but you can't ignore the consequences of ignoring reality
Every time the Federal Reserve raises rates the market rallies that day and then the next day it plunges and wipes out all gains. It did the same in May and it is being repeated today.
But then it goes back up. 🤗
You can make quick scalp money
@@TwoGendersOnly Let’s hope it does and a bottom might be in the making.
Buy puts on qqq and print money the next day
@@lrfcarreviews2570 I thought we hit bottom and I bought yesterday but it's clear it's not a bottom. I sold today lol. Not waiting around. I will give it a little bit longer. I plan on high dividend stocks that are fairly secure. Not taking chances 🙂
Government: creates crisis
Government: offers premade solution.
we are all battered wives. We need to end this toxic relationship
Well put
😃
Best time to make future money is now!
The Fed has one mission…to protect banks from losing money.
But so far cryptos ensure than there's few winners.
The Fed has one mission, extract wealth.
@@minoritymind you mean maintain power 🔋
Right interest rate hikes take more from the little people and fill the banks pockets with more profit. It's a scam.
The Feds are the banks
Thank you for putting out videos that actually help our economy by not telling people to panic sell everything and wait for the bottom.
Well said! I am also here to learn more genuine and smart way on short term investment, any idea here?
@@rajeshupadhyay5683
lookup Priscilla Dearmin-Turner, this is her name online, she's now the real investment prodigy since the crash and have help me recovered my loses
A news host spoke so highly of💕 Priscilla Dearmin-Turner and her loss prevention strategies been trying to get to her ever since
@@lezliewhicker8450Thank you, Going through her profile in her webpage, she smashed all her state certificate and accreditation🙏
I heard she always have a way of linking someone investment into something new and profitable?
Thank goodness I have paid off all my credit cards and car. I don't owe anyone a penny. I live 5mins from my job. I am saving a ton a money. I am not feeling this inflation. Thank God.
Is that a Zenith El Primero I see?!?! Classy choice!
I work in fiance as a financial consultant, ur videos help me greatly, regaudless of what my company tells me. Really glad i found your channel. Gives me a nice glimpse out side the forute 500 companies i work with.
honestly the dollar wont be going back to where it was pre 2021. hopefully the power of the US dollar will get fixed and the price of everything will go down a lot but we probably wont see the prices we saw pre 2021. I'm not pointing any fingers but I will say its a huge shame that we even had to go down this path. Good luck to everyone
That's what I was telling my neighbor that has been waiting to get a new used vehicle. People don't seem to understand this is the new level we will be at for the next few years. Even when we do see prices going down it will be nothing near what it was because corporations realize they can keep the prices high if their profits are still there.
@@augere9620 used car prices will crash due to the high amount of sub prime loans given out the past two years. There is a record level of repos going on at the moment.
The dollar is actually really strong compared to other currencies lol.
i'll point fingers...biden voters.
@@calebmclarnon6211 yeah people are ignorant
Housing prices from just 2019 to now has been so ridiculous that it was almost better to buy at the higher interest rate on a house that was worth 200,000 in 2018 cause that same house now is like 400,000 now. Insane.
Exactly what I did. Bought foreclosure property in 2018 for 275k and just sold it in Jan for 460k
@@Joeywlsn wish I had the money to back then. And nice. Was the 460k in profit or it sold for 460k? Either way even with tax it's still a nice profit.
I got lucky and bought a house in late 2018. Sold it last year for 84% more than what I paid for it.
This comment will age well.
My faith in this country is now as low as my stocks in the last week.
I mean basing your entire societal structure over a made up piece of paper that only has value because we collectively willed it to have as much was doomed to failure. Rather than idk actually focusing on the important things. Sad that we as a species can't understand that we need to move past money being the driving factor of our existence.
@@afrosamurai3847 Agreed, what hard assets would you suggest?
Gold? Real Estate?
Murica
Feds raise the prime rate from 4.00% to 4.75% All because President Blamer shot inflation in 12 months from 4.99% to 8.58% .
People need to start looking at average household debt rising to historic levels in the past month. When the limit is tapped and variable interest rates kick in it's all over.
I used to watch ur videos a lot in high school and didn’t really understand a whole lot other than to save ur money and invest rationally. Now I’m taking an econ course in college and everything is clicking together 🤯
The feds priority is to allow the government to spend the money in our pockets without actually taking the money out of our pockets.
You said it brother 👏
Better check your pockets
@@DogSpeak This. Well, to do whatever the masters of the central banks desire.
@@wayneaguirre6805 spam spam spam
The amount of bots talking about the same stupid thing is crazy in here....
It’s crazy
Just removed them!
To be Frank though, higher interest rates mean deleveraging the market. Institutions will have to pull their stock to cover the increased interest. It reduces profitablity in the market.
People are also loosing money on margin calls they weren't prepared for.
Its the only way to fix the system though I'm afraid they will have to go a lot higher on interest rates before it succeeds. I'm shocked they actually did it.
I Remember they promised it would only be "transitory inflation" and "nothing to worry about" lol
The problem is, FED is in private hands and they don't care about strong market, employment or anything regarding our wellbeing, just the opposite, they will do anything to make them richer and more powerful to our detriment.
they make the mistakes running this country and we foot the bill...
“Who controls the food supply controls the people; who controls the energy can control whole continents; who controls money can control the world.”
- Henry Kissinger
They should've raised it by a full percentage point today. At this point they're just reacting to the CPI report rather than actually predicting and understanding the scope and speed of rising inflation.
Arguably, they should have raised it 500 basis points, but no. We can’t have our recession
Keep the inflation the way it is. In a few short years my mortgage will be wiped out.
Hey.Thank you.Honestly,I am learning tons of things from you which I didn't and couldn't learn from book👍😄
The explanation was the best I’ve heard so far. Gonna rewatch this one
no surprise at 75. I suspect it's still not enough to avoid the pain we've set ourselves up for with GROSSLY irresponsible fiscal policy. 4:50 "proof that anything could happen, and to take .... with a grain of salt." True!
lets see 15-18% interest rates on mortgages and we are back where we came from before the first bubble in 2008 and now the new one which is even larger... just ripe to burst... it's gonna be fun
Need to increase 300 basis points
Appreciate the title and lack of clickbait. Liking commenting and watching ads in thanks
I use to always watch your videos but I don’t even click them anymore. So tired of seeing negative depressing looking thumbnails. I looked at your video list and it’s pretty disgusting seeing that for every single video. I rarely ever leave UA-cam comments but i thought I’d give some genuine feedback. I understand negative news sells but bro come on. Every single video with a negative depressing thumbnail. Hope you take this unsolicited advice into consideration.
Right now the economy isn’t doing good he is just keeping it real.
He’s gotta eat I guess 😂
Hard agree, long time sub, I’m considering leaving because his content is so recycled and alarmist.
If you watch until the end of every video the message usually ends on a positive tone along the lines of, stay the course, keep dollar cost averaging, no one knows what tomorrow brings, but hopefully this information helped you.
That’s pretty positive to me.
He uses a standard social media attention tactic by using a negative headline/thumbnail/etc. to get you to click but if you listen closely he is not that negative. The contrary in my opinion.
We are in a crash? It ain't exactly a positive thing my dude. Yeah the titles are a little clickbaity, but that's how youtubers get their bag. The positive/negative observation is a bit silly. Unless of course you want to lul yourself into a false sense of security, if that's the case watch cnbc.
STONKS?? Am I the only one that caught that? Amazing video. Packed full of great information. New subscriber!! 🤘😎
I feel bad for those who bought a house in the last couple of months. They will be locked at their houses for over 20 years. Let me explain why. Price drop is 20% of total houses, inventory is up, and everyone know we will have at least 10-15% price correction in near future. If you buy your house with at least that price reduction, even if with high interest rate, your monthly payment will be lower vs buying a house with high price and low interest rate. Also, if you buy the house cheaper with high interest rate, you have the option to refinance it later and you can deduct interest from your tax. There are tons of benefits to wait and get a better deal vs being emotional and cry later.
Those currently building a home are in even worse shape.
@@mikeh9744 my husband says the same.
I'll chime in. I'm glad you brought this up. Me and my fiance currently bought a home. We close escrow this upcoming Tuesday. Sure we could have waited for the market to crash, which it will. The only thing is when? When will houses drop drastically? Even if it drops tomorrow, with the amount of money we make, we have a lot of cushion where we won't be up to our eyeballs in our monthly mortgage payment. With that said, buy when you are ready. We both have very stable careers and we both don't plan to move anytime soon. Specifically in the area where we bought, prices do not drop by much as it is a highly desirable area to live in. In addition, I was just throwing money away at this point paying someone else's mortgage while renting. Even if the market crashes, we're not sweating it. We didn't want to have our lives in pause any longer as we plan to start a family soon. However, this is a calculated risk on our end and fortunate for us, we are in a great financial spot regardless of what the market wants to do.
Screw the fed and just keep buying
Isn’t a 75 basis point exactly what the market expected? Hence why the market is doing good today.
This was only recently expected once CPI numbers came out, and analyst begun to price in 75bps...hence why the market is down significantly over the last week, even though it's up marginally, today.
they were saying they were gonna do 50bps until that cpi came out like Graham said⏬️
"It's all priced in"
I’ll bet the market crashes tomorrow for some reason
@@GrahamStephan I’m with you, but I don’t think that the Fed shocked the market today since the CPI numbers were already out.
time over timing yes is right... except approx every 70 years it's not... and that would be about... now~~!
I think it's important to note that our supply for housing is still extremely low and we need about 4-5x the supply in order to see significant reductions in prices. From what I'm seeing and after listening to several real estate experts, it appears that price cuts are only for those who overpriced their properties to begin with because they expected to still sell above market value. I could possibly see a slight correction but not every market is going to experience this.
Very good point!
@@GrahamStephan Redfin released some really good data talking about how migration over the past couple of years has influenced housing prices which could apply this year as well.
The rates will hit builders which will reduce housing stocks even more in the future. Combined with less construction during covid & higher costs, housing will do extremely well.
@@realfreedom8932 Yeah I don't see how housing won't go up over the next couple of years. This is definitely a different market than in '08
If you could halve the hand gestures it would be great
The market expected 75 BP, that’s why the market did ok today. They should’ve increased BP by 100, freaked everyone out
They should have increased it by 200 BP and cause extreme fear beyond anyone's imagination instead
Yes, crash the market so I can buy even more
@@amilcarayala357 500BP or 1000BP to out right kill inflation 💪
Yep, would have been happy with my options trade!
I am terrified !!!! But thank you for helping me understand the coming woes. Best to be safe then sorry. So being prepared is one key. Another is understanding what is happening, which is where you came in. So thank you. Be well everyone.
Thank you for all these clear explanations !
Interest rate increases would do little or nothing to ease the pain rising prices cause for average consumers.” Ron Paul
Consumer credit debt is at record highs.
Although demand is slowing people are still spending way too much.
I'm taking advantage of the current vehicle market situation to sell my spare car (at 2x it's value) and zero out my CC debt. These interest rates will F over any one carrying a decent size balance
People don’t get into debt because they feel like it, they get into it because salaries aren’t enough to cover their basic needs so they have no choice but to get into debt. Low interest rates compound this because institutions encourage people to get into debt. Quantitive easing further degrades your spending power and transfers wealth onto assets. Heightening the problem for the average person and benefiting the rich. The system is rigged. They cause the problems and then react to them and that’s not even getting into all the market manipulation they do and the amount of insider trading at the top. Blaming the consumer is like blaming someone for breathing
stonks are transitory. middle class are transitory.
Ok so is rent going to decrease, because $2500 for one bedroom is insane. I’d like to move but not if it keeps increasing.
Rent rarely ever decreases, even in a recession. Your best bet is to start storing any cash you can aside so when the market chills out you are in a position to buy something. Also make sure you credit score is 700+ by that time as well
Housing market will crash soon. Its inevitable when the costs rise above what can be repaid, invariably loans get made due to the inability to purchase and those loans cannot he paid back for the same reason. This can only happen for so long until the support crumbles
Always love how Graham explains things! 💜 👍
What about the average American who's just trying to put food on the table and gas in car . Some people don't care about who makes or loses money in stocks
The average American are poised to face rising costs,retrenchments and shrinking profits across most businesses. This affects consumer spending negatively.
Or get promoted is now danger9us fir your health dead end.
Commercial cut me off.
Unfortunately that part is true. Staying stagnant or not actually being able to accomplish, succeed, cl
Take advantage of the rates.
Ummm, the appeal of cryptos (inflation hedge) has been utterly obliterated this year. As inflation fears increased exponentially then cryptos sold off in direct proportion.
Probably because crypto’s were already inflated beyond belief
@@JordanDurzi cryptos are a currency, not an equity or commodity. There are no earnings with which you can quantify value only supply v demand. But the meme that they are an inflation hedge is bunk, they aren’t.
@@thirdplace3973 That's not what inflation hedge means. It means when inflation is out of control it is better to hold it. This has been true while the gov. is printing money and not raising rates. Now that things are going the other way...get it? Inflation is not prices btw. Inflation is amount of money in circulation. CPI is a LIE.
There's never been an "appeal of cryptos" to me. It's worthless.
@@dsap4004 Dude, the only way something can be a hedge in investing/finance if if that asset mitigates risk or lost gains of another asset.
In order for something to be a hedge against X it needs to maintain value or increase in value/demand when X declines in value/demand.
A real inflation hedge asset will gain in value in direct proportion to the value loss of a different asset. Cryptos are not a hedge.
Edit to add: No, inflation is function of supply v demand. Devaluing the USD by dilution is different and the USD value is increasing not decreasing.
Keeping interest rates artificially low for so long was idiotic.
Not sure why no one is mentioning that stocks are worth the same price before the 2020 covid shut down.
It’s not a recession it’s a correction
That’s what I’ve been saying, we went up wayyy too much once Covid settled down, we’re getting back to where we were before Covid.
Yet we’re all older…
Another 50-75 basis points in July says Powell. The markets are going to get deleveraged, due to reduced profitablity on cheap loans.
Stocks are where they were in 2020 yet rent and gas cost 200% as much. Do the math bubba. We are screwed.
@@codythrive5154 Exactly where is the growth going to come from, if people are constantly strapped for cash due to consumer prices inflating, with historically high maxed out credit card rates, and higher interest rates on margin loans?
People are going to deleverage the market!
no they were delaying to see how bad inflation was getting, they decided they needed to bring the pain necessary
legislation and registration lag
They didn't shock the market. it was expected and priced in. you don't have to clickbait me. I'll still watch you
If it was priced in the market wouldn’t be down
@@KingofallHacks did you watch the market when it came out? and when powell spoke? choppy and then actually up.
@@KingDingus92 Yep, the market was hanging on every word, Powell said something about .50 wasn't off the table for July, and the dow went from down 150 to up 350. The Fed slipped this information about a .75 increase after a terrible inflation number (something that is illegal as they are supposed to be in a quiet period) Market reacted Friday - Tuesday. As you said it was expected and priced in.
@@TravelingFloridaWithJayson exactly
@@KingDingus92 and then back down
This is a zero-sum game. Either the people wake up and fight against tyranny, or there will be chaos and destruction. Out of this game we either go into another golden age, or we fall into a dystopian society.
Destroyed the like button, leaving a comment... and now, time to start the video!
Rprts say stocks to buy NOW are MRNA, PINS,BBY,DIS sbux, TDOC, PARA NFLX, ADBE, TGT ROKU,
I mean, the markets weren't shocked at all cause the 75bp hike was already kind of 'leaked' on monday and got completely priced in. plus after the cpi report I don't think anyone expected any less. Great info though Graham, just don't think the markets were shocked
I think the market was actually happy with the result too. We finally get to see the Fed make a serious effort to beat inflation rather than the baby steps that haven’t been working.
Doesn't that just mean they were shocked by the leak?
Bull Trap
Which is exactly why I’m preparing for a bull trap. See y’all in a week folks.
@@Absquatulationist not really, as I said after the cpi report everyone was expecting the 75bp hike, the markets just dropped to price it in
Research has gotten much better.
Nice work man. You got my like.
where im at it when from 800 to 900 for a small home rental and shot up to 2200 for a 3 bedroom apt. Over all pay is between 13 to 20 and not the most jobs that pay high. But some number of wealth here, it sucks and the rise is going to suck
I've learned more from watching your videos than I learned in my 4-years of college. My student loans look less and less worth it every day.
You didn’t pay attention to ECON 101 and 302. But I agree his information is interesting
Thanks to inflation)
Sounds like you studied art.
If you pay any attention whatsoever, borrowing was your choice - hopefully as by evaluating worth of education as an investment in your future earnings. With high inflation, value if the money you owe is dropping fast.
Perhaps you mean that you invested in student loans, meaning you are a creditor. If so then you were foolish to lend money at fixed rates while rates were low. Unlike borrowers you are getting screwed by inflation. Rate increases hurt you in short term, but to extent they reduce inflation they help you in longer term.
You only loose if you get off the rollercoaster early.
“If the American people only understood the rank injustice of our money and banking system - there would be a revolution before morning.” ~Andrew Jackson
Lol watch that spending on your credit cards. They will have feel like your paying off a house when it's a big screen TV. 😂
You know, I’m becoming click-bait immune: the more graham does it and ramps up things up vis-a-vis sensationalism, the more I’m disinterested in watching. The closer I get to smashing the ‘unlike’ and ‘unsubscribe’ button.
The more speculative and emotional he goes on about things the less I care, because he’s not actually helping, he’s keeping you on a hook.
The Fed raising interest rates? Yawn. Wake me up when the market actually crashes. Then I’ll be concerned. I’m too busy dealing with the daily affects of inflation and residual pandemic bs.
I mean no one is forcing u to watch
Agree. This channel likely has gone downhill
@@jackyyo1998 well that’s obvious but that’s not the point
he has to pump out videos harder to make money while all his stocks are down LOL
Agreed.
So does that mean businesses are about to collapse since people won’t be able to afford nothing but their necessities because I cut all my subscriptions and reducing everything else I don’t need…..???
I expect that the market will keep going down, meanwhile I will keep dip buying!
HODL
Uau are the perfect example of what happened in 1929.
Pfft why? And if this is like 2008 and revenue growth is slowed by high interest rates on company debt? Where is the growth going to come from?
What is a dip when in three months your dips will become peaks.
Commodities Prices will not cool down because there is a lot of demand for food and basic needs and supplies are low!
I tried to turn Robinhood off and turn it back on and it didn’t work. Still poor. 😢
have you tried uninstalling?
try transferring it to a good platform
It’s by design. Central banking is fascism. There is no real market to begin with.
Would you consider putting links to all the sources you show in the description?
Most of this videos data can be found on the treasury website
I’m a Millennial and I do feel bad for saying this, LET IT BURN!!! I’ve been screwed over almost every part of life necessities. (Homes, cars, fuel, jobs, and love life) Most of these were my fault but it was because the experiences my parents had and from their advice. Word of caution to all millennials, don’t follow what your parents did to become successful. Times have completely changed from the boomers and X gens. I say let it all burn to the ground and let’s start fresh.
I've been on the sidelines since Sept 2021. I missed some upside but have dodged all of the downside, for now. I expect recession at this point. Like you said, I'm waiting to see that greed become despair. Thats the moment the bottom is in! Real Estate.. that might take a couple more years to shake out.
lets see what happens!
Why is it that I stopped seeing your video's on my feed? I had to search you today after noticing I haven't seen your videos for a few weeks.
I am always amazed that most of your videos are sponsored yet you make amazing money from UA-cam ad revenue. With the amount of advertising shoved down our throats by UA-cam on its own it makes hearing your ads that much more painful. Miss your old videos….
Shock the markets we literally knew this was gonna happen
Yayyy more rate hikes! I think this is a better time than ever to dollar cost average into the market if you have the capital to do so. I wish I had more spare cash on hand to do just that, but for now, my plan is to continue averaging into the market with each paycheck as usual.
Wait till it drops more first... then dollar cost average.
@@networth00 I am not a fan of trying to time the market, so I choose to constantly dollar cost into the market whether it's up or down every two weeks. That's just what works for me, but everyone has their own method!
@@SpencerJohnsonOfficial it is crystal clear another big drop is coming. Never ever invest quickly after a drop.. Wait for at least 50 weekly candles
@@prohaxprofessional722 Assuming that is the case, I will happily continue to average into the market through that dip as well! I never deploy all of my capital at once, so I am comfortable with doing this. Everyone has different strategies, time horizons, time to research, etc. but for me, this is the method that works for me and has been proven to work time and time again in the past. I appreciate your thoughts!!
@@SpencerJohnsonOfficial Good luck.
Whats a stonk?... At 5:07 mins into video.
... Luv it🙂😁😉
As someone who has nothing invested yet but savings going up I’m in a position to wait and keep earning till everything is really low and start investing
Everything is already pretty low, I'd be ready to hop on things if I were you, might be bottoming out soon
I am not surprised by these findings. What did surprise me is that the Federal Reserve only meets a couple of times a year? That I found interesting.
BUY the DIP!
Lol!!
HODL!!
The market wasn't shocked dude, everyone was expecting this hike which is why there was a sell off on Monday and the markets are up today. Most managers I've spoken to have been expecting a hike of 50-75 basis points and have been pricing accordingly.
I'm glad they went big. Start big and possibly normalize faster.
totally
not big enough...
Sometimes you just got to rip the bandaid off
That's not big....
Inventory is so low. House prices are gonna climb. Im on a buying spree for ltr and flips
Graham - Did you know that mortgage-backed securities went 'no-bid' last week? You should research the effect that is about to have on the housing market!
I found how it will affect the market but can anyone explain what exactly no bid mbs means? cant find anything clear on google
Up
So … this video was a year ago. Pro-tip? Don’t panic… 🤣
I’m not panicked but reality has set in. I’m definitely more prepared than I was a year ago. Thank God! My advice, take it or leave it… prep, pray & keep prepping (without panicking of course).
It's a good thing that my family is almost out of debt. By the end of this year we might be in the green with about 3-4k coming in every month. The last thing to do is fix our credit history.
NIIIIICE !!
Awesome man, that’s hard work right there
Congrats! Getting out of debt is a huge accomplishment
Good for you brother.
Wait i just realized... were you in the youtube boxing thing? Congrats man. You did a good thing. Love your market inisghts too
2:17 You just yadi-yadi-yada the important part that will shed the most light on this situation. The Fed increases the rate banks can charge each other and that somehow makes it to me who doesn't have a bank account at all? From what I can tell, banks don't make most of their money lending to regular people so why does their rate affect the biggest driver of economic activity (ie. consumers)?
Credit cards, car loans, personal loans, mortgages all go up which affects consumers costs and spending power. Businesses get charged higher interest and they pass costs onto consumers. That’s how.
Many bought homes the last few years. This steals what everyone thought they had. Upside down in your house and jobs deceasing. Prices going up. Build back better… you will own nothing and be happy. That’s literally on their video.
It is in times like these that those who can afford to double down on their investments tend to come out ahead in 10 years.
ten years.... great
Not this time
Problem, people are running out of dip buying money.
An keeps your hands in motion to keep up with the depression of it all
0.75 was priced in as within couple of hours as soon as CPI report came out. Futures also reposition to that as well. Todays expectation was 0.75. Anything lower, shock and anything higher as well.
I personally think most of the inflation is a short-term issue driven by corporate greed (e.g., disconnect between $/barrel of oil and gas prices) and supply-chain issues (e.g., clothing, electronics, cars, food) and once things stabilize it will come down.
Instead of waiting for things to come down you can join the chain of investors and make stable profits daily
Its hard to see my investments at such a high loss % but im still buying every week.
it always go back up.
@@blac-whit Yep it will
@@dylanmorris5837 No heartbreak here that is the beast of the business.
@@dylanmorris5837 Nice Congrats on your success.
I took a hit but it wasn't catastrophic. I am definitely going to keep buying. Don't panic and be patient.
@13:17 "this is the way"