Twenty Percent Rally to End the Year?

The market’s been choppy in recent weeks. But stay the course… Because I’m forecasting smooth sailing to close out the year. How high might the market climb? Read on to find out… [mbd-thumbnail] CLICK HERE TO LAUNCH VIDEO OR READ THE FULL TRANSCRIPT BELOW »» [/mbd-thumbnail] [mbd-video][/mbd-video] [ad] ADVERTISEMENT Early Detection Warning! Mr. Zatlin’s early […] You’re receiving this email as part of your subscription to Andrew Zatlin’s Moneyball Daily [Unsubscribe]( [Moneyball Daily] Twenty Percent Rally to End the Year? September 26, 2023 The market’s been choppy in recent weeks. But stay the course… Because I’m forecasting smooth sailing to close out the year. How high might the market climb? Read on to find out… [CLICK HERE TO LAUNCH VIDEO OR READ THE FULL TRANSCRIPT BELOW »»]( ADVERTISEMENT Early Detection Warning! Mr. Zatlin’s early detection system — a real-time market algorithm that predicts extreme events with shocking accuracy — is ringing like the bells of St. Peter’s Basilica. The bells mean a truly massive event is at hand, like a major currency collapse… or a flash crash… or even the next Tulip Mania. Gains could rival some of the market’s biggest lately (i.e. 465%... 614%... even 1,112%). [Click here for the urgent details](. For a transcript of this video, see below. This transcript has been lightly edited for length and clarity. Twenty Percent Rally to End the Year? Get ready, folks. We’re about to see a major stock rally as we close out the year. I realize that’s kind of contrarian. After all, the S&P 500 fell by nearly 2% last month, and has spent much of this month in turmoil. Furthermore, leading indicators aren’t very promising. So, why am I so bullish? The Current Landscape To get a sense of my optimism, first you need to understand the current landscape. For much of this year, the market for mergers & acquisitions (“M&A”) and initial public offerings (“IPOs”) has been lousy. In dollar terms, M&A activity is down 40% for the year, the worst market for deals in two decades. IPO activity, meanwhile, is down 36% for the year. In the first half of this year, there were 52 IPOs. Compare that to the first half of 2021, when there were 219! Even this year’s few notable offerings were underwhelming. Instacart (CART), for example, the grocery-delivery business, was valued at $39 billion two years ago. But it went public last week. And its market cap sits at less than $9 billion. This is discouraging data. So why is my outlook so positive? The Fed’s Role Simple: Investors like us can use this landscape to position ourselves for significant profits. Much more on that in my videos to come. For now, though, let’s focus on the Fed. You see, the markets for M&A and IPOs dried up because the Fed took away the hot money. It raised rates, making it more expensive to borrow capital, and that, in turn, forced valuations down. Now, at first blush, that may seem strange. After all, the S&P 500 is up 15% for the year. Why would valuations be down? The answer lies with a group you might refer to as “the big six.” The Big Six The S&P as a whole may be up just 15% for the year. But this rise is misleading. That’s because a handful of stocks inside this index are responsible for the lion’s share of the gains. Take a look: - Microsoft (MSFT): Up 30%. - Apple (AAPL): Up 40% - Alphabet (GOOGL): Up 60% - Amazon (AMZN): Up 60% - Meta (META): Up 136% - Nvidia (NVDA): Up 200% These six stocks are worth about 25% of the total S&P 500… Meaning that whatever happens to their prices usually has a major impact on the broader market. In fact, their successes and failures can give a distorted view to how the broader market is actually performing. Let me show you: The green line in this chart represents the growth of five of the big six stocks above. This year alone, these stocks have climbed more than 56%. Compare that to the yellow line, which represents the rest of the S&P 500. So far this year, all these other companies have achieved growth of less than 9%. Here’s what all this means… We’ve Bottomed Out Take away a few outliers and notice how the broader market is essentially flat. And that’s exactly what the Fed was after. It raised interest rates to slow down the economy and stock valuations. And here’s the interesting part… Right now, the market for valuations, M&A, and IPOs reminds me a bit of 2009. That was a rough year as we recovered from the Great Recession. But remember what happened next? 2010 saw a market rally of 20%. From my perspective, the bottom is currently in. We can only go up from here. I project the IPO market to begin thawing out, and as interest rates start to flatten (or even fall), that’ll bring even more positive news to the market. Bottom line: The stars are aligning for a fortuitous end to 2023. I’ve shared the details on how to get positioned with my Pro subscribers, and will continue to visit this subject in future videos. So stay tuned. In the meantime, we’re in it to win it. Zatlin out. FOR MONEYBALL PRO READERS ONLY > [LEARN MORE]( < In it to win it, [Andrew Zatlin] Andrew Zatlin Moneyball Economics Copyright 2023 © Moneyball Economics, All rights reserved. You signed up on []( Our mailing address is: Moneyball Economics 1125 N. Charles Street Baltimore, Maryland 21201 [Update Subscription Preferences]( | [Unsubscribe from this list]( | [Terms & Privacy]( RISK NOTICE: All investing comes with risk. That includes the investments teased in this letter. You should never invest more than you can afford to lose. Please use this research for the purpose that it's intended — as research only. You should consult a professional financial advisor before ever taking a position in any securities you see herein. DISCLAIMERS: The work included in this communication is based on diverse sources including SEC filings, current events, interviews, corporate press releases, and information published on funding platforms, but the views we express and the conclusions we reach are our own. As such, this content may contain errors, and any investments described in this content should be made only after reviewing the filings and/or financial statements of the company, and only after consulting with your investment advisor. Actual results may differ significantly from the results described herein. Furthermore, nothing published by Moneyball Economics, Inc should be considered personalized financial advice. Although our employees may answer your general customer service questions, they are not licensed under securities laws to address your particular investment situation. No communication by our employees to you should be deemed as personalized investment advice. Moneyball Economics is an independent provider of education, information and research on publicly traded companies, and as such, it accepts no direct or indirect compensation from any companies or third parties mentioned in any of our letters, reports or updates