Why The Stock Market Will Keep Falling

Selling Real Estate
Lets discuss the stock market, why the market keeps falling, how real estate prices are impacted by low interest rates, and the worry about a wage price spiral – ADD MY WEEKLY NEWSLETTER HERE: https://grahamstephan.com/newsletter – Enjoy! Add me on Instagram: GPStephan

GET YOUR FREE STOCK WORTH UP TO $1000 ON PUBLIC & SEE MY STOCK TRADES – USE CODE GRAHAM: http://www.public.com/graham

Trade Bitcoin, Doge, and other crypto with zero fees on FTX. Use my referral code GRAHAM and get a free coin when you trade $10 worth: https://grahamstephan.com/FTX

NEW BANKROLL COFFEE NOW FOR SALE: http://www.bankrollcoffee.com

DOWNLOAD MY NEW FINANCIAL APP: https://confirmsubscription.com/h/y/738B303D39689CFB

The YouTube Creator Academy:
Learn EXACTLY how to get your first 1000 subscribers on YouTube, rank videos on the front page of searches, grow your following, and turn that into another income source: https://the-real-estate-agent-academy.teachable.com/p/the-youtube-creator-academy/?product_id=1010756&coupon_code=100OFF – $100 OFF WITH CODE 100OFF

THE STOCK MARKET: POOR GUIDANCE
This gives shareholders a better understanding as to upcoming earnings, sales projections, company expansion, and market conditions. As MarketWatch pointed out, the ratio between NEGATIVE to POSITIVE GUIDANCE spiked above average for the first time since prior to the pandemic…and, as an analyst at Morgan Stanley warned: “last
week’s tactical rally in equities will likely run out of momentum in March as the Fed begins to tighten in earnest and the earnings picture deteriorates”

These are companies who have a better chance at delivering earnings in a more challenging environment…which means, instead of paying for growth, potential, of defense…markets are preferring strong, core businesses who have a longstanding profitable business model.

HOME PRICES IN 2022:
Home price growth set YET ANOTHER RECORD…with a 19.1% increase over the 12 months…the highest level in the last 41 years. On top of that, experts now predict that prices could rise ANOTHER 10% THIS YEAR. CoreLogic explains that “In December and January, for-sale inventory continued to be the lowest we have seen in a generation. Buyers have continued to bid prices up for the limited supply on the market.” International tension is actually leading MORE INVESTORS to buy the 10 year treasury as a safe-haven store of capital…causing the yield to go down…and, causing MORTGAGES to go down alongside with it.

CRYPTOCURRENCY PRICES:
Just recently, Bitcoin prices increased as a result of a QUICK SHORT SQUEEZE, while bitcoin went from being 52% shorted…to 47% shorted almost instantaneously. In other words…a portion of those investors had to COVER THEIR POSITION during a time where roughly $254 million moved in to the markets…causing the price to go up…which, creates more buying demand as those short sellers have to buy the underlying bitcoin to exit their position…leading us to what we just saw….at least according to TheDailyHODL.

THE WAGE PRICE SPIRAL:
For those unaware…this is the phenomenon that occurs when prices rise…and, as a result, workers demand MORE PAY to reasonably afford those items…although, as their pay increases…so does demand for those items…causing the price to increase…causing workers to demand an even higher pay…causing the cycle to endlessly repeat.

The WallStreetJournal reported that the last “WAGE PRICE SPIRAL” occurred throughout the 1970’s during a time of runaway inflation…where “workers and businesses began planning for pay and price increases simply because they believed their costs would keep going up”….and now, for the first time since then…both wages, and inflation, are rising at the same time…sparking worry that there’s the POTENTIAL of repeating the same fate as 50 years ago.

S&P Global mentions that, though a wage price spiral is POSSIBLE…both wages and inflation seem to be stabilizing…and, consumer sentiment SEEMS to be that inflation is going to remain relatively the same…meaning, it’s unlikely things will surge even higher than they are today.

My ENTIRE Camera and Recording Equipment:
https://www.amazon.com/shop/grahamstephan?listId=2TNWZ7RP1P1EB

For business or one-on-one real estate investing/real estate agent consulting inquiries, you can reach me at GrahamStephanBusiness@gmail.com

*Some of the links and other products that appear on this video are from companies which Graham Stephan will earn an affiliate commission or referral bonus. Graham Stephan is part of an affiliate network and receives compensation for sending traffic to partner sites. The content in this video is accurate as of the posting date. Some of the offers mentioned may no longer be available. This is not investment advice. Public Offer valid for U.S. residents 18+ and subject to account approval. There may be other fees associated with trading. See Public.com/disclosures/

Products You May Like

Articles You May Like

How to Invest $50K in Real Estate As a Beginner
We’re making another trim of a stock under pressure to protect hard-fought profits
Cara Delevingne sells torched $7M Los Angeles mansion at a serious loss—6 months after it was destroyed by fire
Weekly mortgage demand inched up, despite higher interest rates. Here’s why
Home sales surged in October, just before mortgage rates jumped

Leave a Reply

Your email address will not be published. Required fields are marked *