Midterms, Big Bets and the Used Car Market Collapse

Here’s what caught Matt Clark’s eye this week. [Turn Your Images On] [Midterms, Big Bets and the Used Car Market Collapse]( [Turn Your Images On] [Matt Clark, Research Analyst]( While meeting in the basement of Money & Markets headquarters as Hurricane Nicole headed toward South Florida, we were talking about new ideas. And that’s why today’s Money & Markets Daily looks a little different. I want to give you an unfiltered look at events that caught my eye each week. So I zeroed in on a few things below. If there’s something you’d like to see analysis on, drop me an email at Feedback@MoneyandMarkets.com. Keep scrolling to read on. --------------------------------------------------------------- FROM OUR PARTNERS [Wall Street Legend Warns “Financial Reset” is Coming]( Get out of U.S. banks immediately and move your money into a new vehicle 50 years in the making. [MORE HERE]( --------------------------------------------------------------- Midterm Elections Are Kind of Over — Now It’s the Market’s Turn Finally, the barrage of television ads and election postcards in my mailbox has ended. For now. As I write, control of the U.S. Senate remains a toss-up and Republicans are inching closer to winning back the U.S. House of Representatives. Ok, but … the big unknown for investors will be how the market reacts to these results. In the short term, stocks tumbled Wednesday as investors dislike uncertainty. It’s the long-term impact that is the bigger question. I dove into this [more last week](. I shared the chart below, which shows you how the market reacts to power shifts in Washington, D.C.: [Turn Your Images On] ([Click here for a larger image.]( The data from 1933 to 2021 shows the market loves gridlock. Why? When Republicans and Democrats share power, the need for compromise is greater … meaning unnecessary legislation is put on the back burner. That puts investors at a bit more ease because that means less uncertainty. Then there’s the unknown … the Federal Reserve. Our good friends (I say in jest) at the U.S. central bank continue to struggle with inflation and recession fears. Specifics would be nice … Fed Chair Jerome Powell injected a fresh batch of confusion after the latest interest rate hike: - He said the Fed wasn’t pausing rate hikes. - But he didn’t offer guidance on how high rates need to go. Those are the right words to take the wind out of any market uptrend, quick, fast and in a hurry. [Click here for insights on the used car markets and a big bet.]( --------------------------------------------------------------- [My Brand-New Book Is Yours FREE!]( My new book, Income Forever, is packed with the income tips, tricks and secrets I’ve gathered over 20 years of helping independent investors gain financial independence. And it can be yours today for FREE! In fact, I put together a whole package of materials to help you combat today’s high prices, rising interest rates and volatile stock market. I call it the Income Forever Bundle, and I’m willing to send it to you right now at no charge … and with no strings attached! [Click here to see how to claim your FREE Income Forever Bundle.]( --------------------------------------------------------------- What I’m Looking for Next Week Part of our creed at Money & Markets is to be adaptable with our investing. Chief Investment Strategist Adam O’Dell said it best: “In short, it means we change our actions … as the market changes. Stubbornness is a slippery slope … The more you dig your heels in, the worse your situation becomes if your actions don’t match reality.” This holds true in my [Stock Power Daily]( — where I give you one highly rated stock every day to consider for your portfolio. This week, I am focusing on stocks rated high on both value and quality. The market is favoring solid value stocks. But investors can fall into a “value trap” by targeting stocks with good price-to-earnings or price-to-sales ratios, but weak business fundamentals. To avoid dogs, I’ll share value stocks that also score well on quality — which measures profitability and balance sheet strength. So look out for that in next week’s Stock Power Daily! Until next time. Safe trading, [Matt Clark signature] [Matt Clark]( Research Analyst, [Money & Markets]( Suggested Stories: [Tales of an IPO Dropout: What the 2000s Tech Stock Crash Taught Me]( [A “Bullish” Dividend Turnaround Play]( Privacy Policy The Money & Markets, P.O. Box 8378, Delray Beach, FL 33482. To ensure that you receive future issues of Money & Markets, please add info@mb.moneyandmarkets.com to your address book or [whitelist]( within your spam settings. For customer service questions or issues, please contact us for assistance. 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