The Real Reason The Fed's Rate Cut Was A Mistake | Bill Fleckenstein

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  • เผยแพร่เมื่อ 18 พ.ย. 2024

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  • @TheJuliaLaRocheShow
    @TheJuliaLaRocheShow  หลายเดือนก่อน

    ✨ This episode is sponsored by Public.com. Lock in your 6.6% yield: public.com/julia ✨
    Paid endorsement for Public Investing, Inc. Not investment advice. All investing involves the risk of loss, including loss of principal. Brokerage services for US Listed and registered securities, options and Bonds in a self-directed brokerage account are offered by Public Investing. ETFs, options and Bonds are available to US members only.
    *A Bond Account is a self-directed brokerage account with Public Investing, member FINRA/SIPC. Deposits into this account are used to purchase 10 fractional investment-grade and high-yield bonds. The 6.6% yield is the average annualized yield to maturity (YTM) across all ten bonds in the Bond Account, before fees, as of 9/18/2024. A bond’s yield is a function of its market price, which can fluctuate, and a bond’s YTM is “locked in” when the bond is purchased. Your yield at time of purchase may be different from the yield shown here. The “locked in” YTM is not guaranteed; you may receive less than the YTM of the bonds in the Bond Account if you sell any of the bonds before maturity, or if the issuer calls or defaults on the bond. While corporate bond yields should fall in reaction to a Federal Reserve rate cut, we cannot know whether that will be true of the bonds in the Bond Account, how quickly bond yields will respond, or how much they will decline. Public Investing charges a markup on each bond trade. Bond Accounts are not recommendations of individual bonds or default allocations. The bonds in the Bond Account have not been selected based on your needs or risk profile. Fractional Bonds also carry risks including liquidity risk, interest rate risk, credit risk, inflation risk, and potential tax liabilities. Read more about the risks associated with fixed income and fractional bonds and learn more about the Bond Account at public.com/disclosures/bond-account.

  • @DonaldMark-ne7se
    @DonaldMark-ne7se หลายเดือนก่อน +115

    Honestly, this situation makes me feel uneasy, particularly with the Fed's decision to cut interest rates by 50 bps. It indicates deeper economic concerns, and I'm uncertain about my $130K investment strategy, especially with the possibility of not just a recession but potentially a depression.

    • @Nicole_Andys
      @Nicole_Andys หลายเดือนก่อน +1

      I agree. Even with great opportunities, we should proceed cautiously. Seeking market analysis or advice from certified market strategists is important.

    • @Crystal__sage-b7k
      @Crystal__sage-b7k หลายเดือนก่อน +1

      Absolutely, having a solid plan is crucial. My portfolio has doubled since early last year. My financial advisor and I are working towards a seven-figure goal, though it might take until Q3 2024.

    • @GavinRay_q9x
      @GavinRay_q9x หลายเดือนก่อน +1

      how can I participate in this? I sincerely aspire to establish a secure financlal future and am eager to participate. Who is the driving force behind your succedss??

    • @Crystal__sage-b7k
      @Crystal__sage-b7k หลายเดือนก่อน +1

      There are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with ‘’ Carol Vivian Constable” for about five years now, and her performance has been consistently impressive. She’s quite known in her field, look-her up.

    • @GavinRay_q9x
      @GavinRay_q9x หลายเดือนก่อน +1

      She appears to be well-educated and well-read. I ran a Google search on her name and came across her website; thank you for sharing.

  • @maxgreen4
    @maxgreen4 หลายเดือนก่อน

    Bill's the best - what a class act, humble and smart. Appreciate him & the thoughtful questions from Julia.

  • @asknwclips7672
    @asknwclips7672 หลายเดือนก่อน +3

    Great job. Best Bill Fleckenstein interview ever.

  • @nthenwhat8912
    @nthenwhat8912 หลายเดือนก่อน +8

    Been around mkts a few yrs longer than Bill and have always found him to be a realistic, worthwhile listen ... Ted Williams batted 0.344.

  • @Blast-Radii
    @Blast-Radii หลายเดือนก่อน +10

    Great guest...thanks Julia.

  • @dynomiteslim4590
    @dynomiteslim4590 หลายเดือนก่อน +2

    Julia does an exceptional job with her interviews. This is yet another one.

  • @bradjohnson233
    @bradjohnson233 หลายเดือนก่อน

    Welcome back Julia. Great insights from Bill. “Those who cannot remember the past are condemned to repeat it" is a forgotten message in our current market.

  • @crouchhill
    @crouchhill หลายเดือนก่อน +2

    I believe the Bond market is the truth BUT the Gold market is the absolute truth.
    Always like listening to Bill 😊

  • @lak1294
    @lak1294 หลายเดือนก่อน +2

    I always tune in to the great Bill Fleckenstein, whatever macro show he happens to be on. He doesn't do a lot of interviews, so kudos to you, Julia!

  • @JayMomoa-4
    @JayMomoa-4 หลายเดือนก่อน +59

    With the Fed cutting interest rates by 50 bps, what do you think will happen to the stock market? My portfolio has performed exceptionally well this year, but I am concerned about the possibility of a market crash and losing my gains.

    • @AstridJohansen-z
      @AstridJohansen-z หลายเดือนก่อน

      rate cut will create new buying opportunity, but given the current market uncertainty, have you considered consulting a FA? they can provide personalized strategies to help protect your investments and maximize returns

    • @Linette-g-y
      @Linette-g-y หลายเดือนก่อน

      rate cut will create new buying opportunity, but given the current market uncertainty, have you considered consulting a financial advisor? they can provide personalized strategies to help protect your investments and maximize returns

    • @mette-lo
      @mette-lo หลายเดือนก่อน

      Over $6 trillion is in money markets earning high interest, but Fed rate cuts will push this money into equities. A crash/recession can be discussed after that shift. My advisor has helped me understand the market, gaining 25% this year alone under her guidance.

    • @Woodstev-
      @Woodstev- หลายเดือนก่อน

      i’ve managed my investment portfolio for 3 years. initially, it performed well, but recently, it has been losing money. I need to find a way to start seeing growth again, how can i reach your advisir please?

    • @mette-lo
      @mette-lo หลายเดือนก่อน

      I'm cautious about giving specific recommendations since this is an online forum and everyone situation is unique, but I've worked with ''Katherine Nance Dietz'' for several years now and highly recommend her. Look her up to see if she meets your criteria.

  • @marcfd3756
    @marcfd3756 หลายเดือนก่อน

    Great interview. Your approach and style are very engaging. Well done!

  • @mackakiwinz4353
    @mackakiwinz4353 หลายเดือนก่อน

    Nothing beats experience and intelligence thank you both

  • @ddhhayes
    @ddhhayes หลายเดือนก่อน +6

    Great show Julia!

  • @mc-kz8zn
    @mc-kz8zn หลายเดือนก่อน +3

    Great pod, thanks for creating this!

  • @Ficus074
    @Ficus074 หลายเดือนก่อน

    Always love Fleck, and Julia seems to ask the right questions to get the most out of him. Nice work!

  • @CoachRP
    @CoachRP หลายเดือนก่อน +5

    Excellent episode

  • @bryanemerzian9478
    @bryanemerzian9478 หลายเดือนก่อน +4

    Bill is the best smart guy and knows how corrupt the system really is.

  • @Robert-e2h9z
    @Robert-e2h9z หลายเดือนก่อน +3

    He’s right , the prices didn’t come down , there was no victory by the fed .

    • @bradleyqueen3879
      @bradleyqueen3879 หลายเดือนก่อน

      There can be if they allowed deflation long enough. But thatll never happen.

  • @RobWilliams007
    @RobWilliams007 หลายเดือนก่อน +6

    Bill! Where’s the rest of The Beach Boys?

  • @victorsperandeo3609
    @victorsperandeo3609 หลายเดือนก่อน +6

    WELL SAID BILL

  • @johngrath9773
    @johngrath9773 หลายเดือนก่อน +1

    Bill is great. You should have him on more regularly.

  • @danstar455
    @danstar455 หลายเดือนก่อน +1

    That it’s lasted this long (post 1971) is surprising. The Fed has used every trick in their book. The Jig is up!

  • @Mr94Integra
    @Mr94Integra หลายเดือนก่อน +3

    Welcome back, Bill!

  • @scottmiller4838
    @scottmiller4838 หลายเดือนก่อน +1

    Don't forget, silver price is manipulated and suppressed by the big banks. I wouldn't hold my breath in getting silver up to its actual price soon.

  • @EclipseEditzx3
    @EclipseEditzx3 หลายเดือนก่อน +2

    Loved your guest today❤

  • @tahtahbangbang
    @tahtahbangbang หลายเดือนก่อน

    What a great guest - I learned a lot, thanks for the content.

  • @alphabear4546
    @alphabear4546 หลายเดือนก่อน +1

    People who say the Fed doesn't know what they are doing are dead wrong. There is a clear understanding within DC of what is occurring. All economic systems deteriate over time, and all the things we look at and complain about are expected, especially after the pinnacle of a cycle. You just need to identify where we stand within the cycle and adjust investments. No policy adjustments can alter what will inevitably happen. More debasement until collapse.

  • @kortyEdna825
    @kortyEdna825 หลายเดือนก่อน +4

    With the Fed cutting interest rates by 50 bps, what do you think will happen to the stock market? My portfolio has performed exceptionally well this year, but I am concerned about the possibility of a market crash and losing my gains though it's all on a brighter and splurging side for Gold, should I look that way?

    • @KaurKhangura
      @KaurKhangura หลายเดือนก่อน +3

      In light of the ongoing global economic crisis, it is crucial for everyone to prioritize investing in diverse sources of income that are not reliant on the government. This includes exploring opportunities in stocks, gold, silver, and digital currencies. Despite the challenging economic situation, it remains a favorable time to consider these investments. Nevertheless, seeking guidance from an investment planner might be necessary if you desire a more assertive return.

    • @Justinmeyer1000
      @Justinmeyer1000 หลายเดือนก่อน +2

      Investing in gold is a reliable choice, and I plan to keep buying more to make up for my losses. While silver is also a good investment, my collectibles are not as similar. It's important to have clear investment goals and educate yourself on the type of investment that interests you. I work with a financial consultant regulated by the SEC, and started small, but eventually accumulated over $800,000.

    • @foden700
      @foden700 หลายเดือนก่อน +2

      I will like to ask, How did you achieve it? I been trying to stick with index funds. I feel this new interest rates hikes could crash this economy. I'm looking out for a better investing strategy, I have a lump sum that inflation is steady eating up.

    • @Justinmeyer1000
      @Justinmeyer1000 หลายเดือนก่อน +1

      Certainly, there are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with ‘’Aileen Gertrude Tippy” for about five years now, and her performance has been consistently impressive.She’s quite known in her field, look-her up.

    • @foden700
      @foden700 หลายเดือนก่อน

      Thanks a lot for this suggestion. I needed this myself, I looked her up, and I have sent her an email. I hope she gets back to me soon.

  • @Crimeajewel-me3me
    @Crimeajewel-me3me หลายเดือนก่อน +1

    I once met at Fitzwilliam college Cambridge in the 1980's a guy who knew John Maynard Keynes - Quentin Bell, ( Virginia Woolfe's nephew ). He passed away since.

  • @jonvonderhaar7060
    @jonvonderhaar7060 หลายเดือนก่อน +1

    Great guest and interviewer.

  • @lamboguy100
    @lamboguy100 หลายเดือนก่อน

    i really like the part about human psychology. its really something most people don't pay any attention about. human psychology never changes, it just shows up and the face of it looks different.

  • @RobWilliams007
    @RobWilliams007 หลายเดือนก่อน +2

    Love Bill. Julia’s not bad either😉

  • @rrrfamily565
    @rrrfamily565 หลายเดือนก่อน +6

    Bill has been a perma bear for years and he's consistently wrong on the market for years as well. I really appreciate his opinion so I can do exactly the opposite. Thank you

  • @matrixist
    @matrixist หลายเดือนก่อน +1

    The right thing was to not raise rates when the inflation was 90% shortages and higher oil prices. It was the correct to cut rates because unemployment is starting to accelerate rapidly. BTW, It actually is starting tomorrow.

  • @StockMarketCaddie
    @StockMarketCaddie หลายเดือนก่อน

    Excellent interview............. Bill is giving real practical trading advice............

  • @shanedavison7473
    @shanedavison7473 หลายเดือนก่อน

    I keep hearing "It's different this time.". Several TH-camrs and media keep repeating this theme.

  • @LooneyTunes4
    @LooneyTunes4 หลายเดือนก่อน +1

    Fleck is still the man!

  • @camela8445Mar
    @camela8445Mar หลายเดือนก่อน +1

    I was surprised they went that route too. Lowering rates doesn’t seem like the right call when inflation is still high. It's just pushing people toward riskier investments trying to chase returns, and that’s never good for the long-term

  • @sivi9741
    @sivi9741 หลายเดือนก่อน

    I like bill and Luke gromen view .
    Bill : they shouldn’t lower rates due to the state of the economy right now .
    Luke : doesn’t matter , the rates are going down to help fiscal deficit of the 🇺🇸.

  • @enderwiggins8483
    @enderwiggins8483 หลายเดือนก่อน

    The rate cut was to keep the federal government afloat. Can't afford interest expense.

  • @davidcpugh8743
    @davidcpugh8743 หลายเดือนก่อน +2

    The herd instinct. Always good to be wary.

  • @issenvan1050
    @issenvan1050 หลายเดือนก่อน

    How about yesterday’s NFP or Dems’ tax proposals & their impacts on GDX?

  • @blumaxx1
    @blumaxx1 หลายเดือนก่อน

    Investing in yourself is key...not an unstable commodity like gold or silver..skills..knowledge..experience are priceless 😮

  • @Faithinfocus007
    @Faithinfocus007 หลายเดือนก่อน

    He did a good job on this socialism vs capitalism lets all vote

  • @dihaig
    @dihaig หลายเดือนก่อน +2

    I really wish you would ask some of these guests abour BRICS

    • @TheJuliaLaRocheShow
      @TheJuliaLaRocheShow  หลายเดือนก่อน

      Happy to! Shoot me an email at julia@julialaroche.com w/ questions + guest recommendations.

    • @rrrfamily565
      @rrrfamily565 หลายเดือนก่อน

      BRICKS is NOTHING. Get over your obsession about USD doomsday lol. USD is going no where. Every govt is printing, including US govt.

  • @Bob-kl3es
    @Bob-kl3es หลายเดือนก่อน +1

    Come in Bill,you know the Jewdiciary is getting exactly what they want. All the property in the world.

  • @salardz
    @salardz หลายเดือนก่อน

    Julia, thanks for the work and asking good questions, but he is not able to explain your questions in a plausible way! Your best guest so far was Jim Rickards. Please bring him back again. :)

  • @johnbirman
    @johnbirman หลายเดือนก่อน

    Inflation is interesting.
    IF it's Food/Gas/Electricity - the kind that everyone pays more for - Everyone complains.
    IF it's Asset Inflation - stocks/real estate/ gold/ BitCoin - then if you already own it - you Love it. You're making money!!
    The poorer get screwed in both.
    The richer gets screwed in the first - but benefits from the second - so come out better.
    So Inflation is selective to whom gets screwed.

  • @36handy
    @36handy หลายเดือนก่อน

    The price level (accumulation of inflation) may never cone down.

  • @redpill-finance
    @redpill-finance หลายเดือนก่อน

    Ironic they put in a “public bond account ad”

  • @thecountofmontecristo8280
    @thecountofmontecristo8280 หลายเดือนก่อน

    I like Fleckenstein a lot. He seems so impassioned about the destructive impact of the Fed and their reckless policies, which I agree with. However, where is his understanding of the macro to help shape and model the direction of economies and ultimately markets? Does he not see the rising unemployment rate as a concern? Claudia Sahm's rule or Mckelvey's rule have both been triggered, suggesting unemployment by historical record will continue to accelerate. If he is a student of history, how does this not factor into his thinking? It seems important, yet his fixation is that inflation will persist so there really is no reason for the Fed to cut and that long rates will continue to push higher. Is he factoring the impact of China's economy slowing markedly and the collapsing price of iron ore / steel and the deflationary impact that will have on the global economy? They are also dumping cheap everything on the world on a grand scale. Just go and talk to anyone who lives/works in the region of South East Asia at the moment. Then we can look at Europe who are mired in a shallow recession but what is likely worsening to a deep recession as industrial production in places like Germany slows to levels never seen before. These will all impact the US economy and inflation more broadly, yet he seems convinced inflation is going higher. I just wonder if he is so anti Fed that he has become so fixated on the idea that any decision they make is wrong, rather than perhaps considering or asking the question "what are they seeing that I'm not". For all their flaws, they still are run by Fed members who spread across America and are speaking to different regions and business owners in those regions. It is possible that what they are hearing - and this is certainly true of the many surveys that are coming back at the moment - that the US economy is slowing quickly and the outlook is quite negative. Just my 2 cents..

  • @chrishardin7183
    @chrishardin7183 หลายเดือนก่อน

    The US bond market doesn't need to be great. It just needs to be better than all the other sovereign bonds, a.k.a, the cleanest shirt in the laundry.

  • @MicheleDullack
    @MicheleDullack หลายเดือนก่อน +1

    After watching Bill the last time you had him on, I took his advice and bought gold (miners). As of today, my positions are up 50%!! Too bad I didn't buy more at that time, and now I have cold feet about buying more because it has gone up so much so quickly.

  • @cbdc4ai
    @cbdc4ai หลายเดือนก่อน

    No. "You are not only providing the basis for a bust of the asset price bubble" - but you are providing the basis for allowing new credit - and based on this credit keep on doing consumption.
    → stop doing it, and the economy will enter a downward spiral with a "not so nice" ending ...

  • @ThrowBackZone
    @ThrowBackZone หลายเดือนก่อน

    Is it just me, or does it seem like the Fed is more concerned with applause than actually fixing the economy? 🤔

  • @renatowhoareyou2464
    @renatowhoareyou2464 หลายเดือนก่อน

    I ❤ Fleck! If only he would accept that he and Grant are true Bitcoiners already 😂

  • @issenvan1050
    @issenvan1050 หลายเดือนก่อน

    How about QT?

  • @BIgBass255
    @BIgBass255 หลายเดือนก่อน

    To much Government spending, combined with unfunded liabilities, mix that with 1 Trillion dollar interest payments. It's not going to end well. Stop loaning money to people who can't afford to pay it back would be a great place to start, including the Government.

  • @HKVol
    @HKVol หลายเดือนก่อน

    Fed Funds rate should shadow nominal GDP.

  • @KGold53
    @KGold53 หลายเดือนก่อน +2

    I’m sorry, Fleck has been singing the same tune since I subscribed to his service in the 1990’s. The economy and equites are up multiples of where he thought they would go, all those years ago, and the Fed is even more friendly toward loose money than back then. Who’d have thought we’d have ZIRP for over a decade and this Fed balance sheet that we have gotten over the intervening time, yet enjoy only 4% unemployment and sub-3% inflation in 2024!? Fleck has never adjusted his thinking. The most stubborn pundit and critic of financial markets and monetary/fiscal policy that I’ve ever heard.

    • @Stone881
      @Stone881 หลายเดือนก่อน +1

      4% unemployment and sub 3% inflation, laughable! Many things in this world cost 3-4 what they used to and everything is at least 50% higher.

  • @sivi9741
    @sivi9741 หลายเดือนก่อน

    Bill should enumerate those great history books 🤔.

  • @danstar455
    @danstar455 หลายเดือนก่อน

    It was a tale of two cities….a low thundering could be sensed.

  • @dazedhavoc
    @dazedhavoc หลายเดือนก่อน +1

    If this happens, the FED will just monetize the debt and buy all of the treasuries.

    • @MeMe-lm9bm
      @MeMe-lm9bm หลายเดือนก่อน

      fed said it is doing QT...he talks about it...although he pointed out it was watered down...

    • @danielhutchinson6604
      @danielhutchinson6604 หลายเดือนก่อน

      @@MeMe-lm9bm I wonder if they buy up Fracker's Bonds?
      That was something that messed up the sales of Frakkin Bonds
      last time OPEC+ messed with prices.

    • @Stone881
      @Stone881 หลายเดือนก่อน

      What do you think they do now?!

    • @danielhutchinson6604
      @danielhutchinson6604 หลายเดือนก่อน

      @@Stone881 The illusion of support for the US Dollar,
      seems to have a difficult time presenting any positive figures.
      They will Hand Trump a Failed Economy to repair.
      Just like LBJ handing the Nixon Administration the Bill for NAM.....
      The cost of Colonial Conflicts does produce enormous debt.
      What Economic Miracle will the next Administration come up with?

  • @JohnAnderson-wc2fw
    @JohnAnderson-wc2fw หลายเดือนก่อน

    I don’t thumbs up when you got scam comments at the top of your page

  • @jeffkgraff
    @jeffkgraff หลายเดือนก่อน

    Making loans and using overvalued collateral in the underwriting decision has consequences. Go figure.

  • @organic723
    @organic723 หลายเดือนก่อน +1

    4 mins of losing your audience got me

  • @oneeleven9832
    @oneeleven9832 หลายเดือนก่อน

    Everything broke in 2008 they have just been keeping the system going since then. Things are going to get way way worse…

  • @mattdroneon58
    @mattdroneon58 หลายเดือนก่อน

    Bill is totally the Fonz of financial markets but with way more brainz!

  • @livinginitaly16years80
    @livinginitaly16years80 หลายเดือนก่อน

    Until you run a business 👍👍👍👍👍

  • @issenvan1050
    @issenvan1050 หลายเดือนก่อน

    Is he still in gold stocks?

    • @chrish9311
      @chrish9311 หลายเดือนก่อน

      Yes

    • @chrish9311
      @chrish9311 หลายเดือนก่อน

      Alamos Agnico Wesdome

  • @anahitaaalami9064
    @anahitaaalami9064 หลายเดือนก่อน

    Btc??

  • @granitemannh
    @granitemannh หลายเดือนก่อน

    I love listening to Bill. He is smart and articulate. However, keep in mind that he has been a "perma bear" for decades. I agree with everything he has put forth. However, I think his views can be viewed as fear mongering. Stay the course and make sure your allocation to stocks is appropriate for your risk tolerance. Also, I think value investing will do well in the years ahead. Consider this strategy for your equity holdings.

    • @TheJuliaLaRocheShow
      @TheJuliaLaRocheShow  หลายเดือนก่อน

      We have a diversity of viewpoints on the channel. My next two guests are bulls 😊

  • @Milocat-v3g
    @Milocat-v3g หลายเดือนก่อน

    i liked him on happy days. haaaaay

  • @lance2635
    @lance2635 หลายเดือนก่อน

    you had better be careful Julia.......you are making Bill ....Blush...lol.......if i had such a pretty girl giving me all those compliments......i would be Blushing tooo..........lol

  • @Jakethebeard
    @Jakethebeard หลายเดือนก่อน

    I'm not sure he did anything for 45 minutes besides state the obvious. Lots of cold takes.

  • @dave8212
    @dave8212 หลายเดือนก่อน

    👍🏻💛

  • @vincentmurphy9252
    @vincentmurphy9252 หลายเดือนก่อน

    Lend a guy 10’you may get paid back
    Lend 100 they doge you
    1000 they never answer phone
    35 trillion your never getting paid

  • @danlee6997
    @danlee6997 หลายเดือนก่อน +4

    This clown has underperformed the market forever.but comes on these programs and acts like he is some kind of guru.

    • @Gabber44906
      @Gabber44906 หลายเดือนก่อน

      Laughed

    • @oneeleven9832
      @oneeleven9832 หลายเดือนก่อน +2

      It’s about losing less when the SHTF that is way more important…

  • @jayfromct5164
    @jayfromct5164 หลายเดือนก่อน +1

    Get better guest 🤦🏾‍♂️

  • @togoni
    @togoni หลายเดือนก่อน +3

    Bill has turned into a whining dude

  • @bryancecilio2727
    @bryancecilio2727 หลายเดือนก่อน

    Great interview.

  • @lamboguy100
    @lamboguy100 หลายเดือนก่อน

    i really like the part about human psychology. its really something most people don't pay any attention about. human psychology never changes, it just shows up and the face of it looks different.