Trading Perspectives: An Economic Podcast

Government and Central Banks are flooding the world with money.  Is all of this debt good for the economy or will it eventually lead to financial ruin?  John & Sam discuss what happens when money is cheap and the world is heavily in debt.

We've recently heard that Jos. A. Banks, Brooke's Brothers, and even Lord & Taylor have filed bankruptcy. However, it isn't surprising now that dress codes are becoming increasingly more casual. A coat and tie is no longer a requirement and in some cases, could even be seen as intimidating to potential clients. Is the pandemic and remote work environment causing companies to be more concerned abou...

The prices of silver and gold have spiked recently. Gold and silver have historically been methods of exchange and currency.  It has really only been within the past several decades that the US dollar has not been backed by silver or gold. Is this recent rally caused by the weakening of the US dollar or investor's need for store value? 

Many residents across the country are leaving city centers and moving to suburban areas of town.  Generally, the attraction to living in downtown areas is the cultural amenities. Access to restaurants, theaters, and various social attractions. What happens when the cultural amenities dry up or are not as accessible? It seems the attractiveness begins to fade.  Was it the pandemic or the protests t...

Tesla stock has been performing exceptionally well since the middle of last year.  It is now is up over 40% in less than 2 weeks. The immediate thought is, what changed? But it doesn't seem a lot has changed with Tesla over the past year, so why is their stock performing so well?  When you look at the market capitalization of Tesla and compare it to other automobile manufacturers, the difference i...

Harvard recently announced that all classes will remain online for the fall semester, yet tuition is staying the same.  Given Harvard's reputation, it is almost certain that other colleges will follow suit. How will this change the college experience for students?  Will a zoom environment and the ability to record lectures change the way professors teach classes?  Lastly, will an adjustment like t...

Many states have recently announced an increase in Coronavirus cases. Some states have already started shutting down businesses again. In a consumer driven economy, shutting down establishments that employ people essentially takes consumers out of the equation one by one. Could this be the 2nd wave of COVID-19 or an extension of the first? Can the economy tolerate another shut down? Additionally,...

What happens to the economy if & when all the relief packages expire this summer? Will the economy stay afloat or will it have to learn how to swim again? There has been some good economic news recently. The economy created a lot of jobs in May and US consumers spent a lot of money last month. But, on Monday, an often overlooked monthly report about mortgage delinquencies suggested we might not be...

The economic data has improved, but how good is it really? Is it too early to call for a V-shaped recovery? Or are the recent economic reports signs of good times to come? In this week's podcast, Sam and John delve into some surprisingly strong data to try to determine the truth. After all, no one has ever seen an economic downturn like this was. So, how do you adequately predict what happens next...

With the recent riots and protests happening across the country, many people are pushing to defund police forces.  Some want to transform police forces whereas others want to completely disband them.  Dismantling law enforcement agencies will greatly impact the driving factors of a successful economy and it seems that the people behind the defund movement may not all be on the same page.  What exa...

It's no doubt that we've seen some absolutely terrible economic data since the start of the COVID-19 pandemic and now we are seeing riots and protests across the country. Yet somehow the markets keep going up.  This is a very weird time for the US Economy as well as the Global Economy and it seems that these recent rallies in the market are fueled by liquidity and the fear of missing out.  But wha...

China is trying to exert increasingly great authority over the Hong Kong government and economy. For years it's been one country 2 systems.  We saw protests last year before the COVID-19 pandemic and Beijing probably does not need Hong Kong like it did 25 years ago.  With the rest of the world focused on the pandemic, is it possible that China is trying to reinitiate their efforts to threaten the...

In the last 2 months, America has lost decades worth of jobs. 2-3 million people a week are filing initial jobless claims. What does that mean for society in terms of future wage growth, mental health, divorce rates or crime rates? Businesses that are currently or planning to reopen will eventually adjust to operating on a lower employee base. So, how do we fix it? What can we do to minimize the i...

This week's episode features Stewart Welch, the Mayor of Mountain Brook, Alabama and Founder of the Welch Group.  Although most people think they know how local governments work, Mayor Welch provides first hand insight into exactly how local municipalities work, where a majority of the revenue comes from, and the flow of communication from the state. What impact will this pandemic have on local ec...

Now on the 3rd stimulus package, people are starting to complain about the trillions of dollars the US Treasury is throwing on the economy.  How are we going to pay for it?  And what will happen with interest rates moving forward? 

People have conflicting opinions on the reopening of economies. The reality is, local politicians are in a lose-lose situation. You open it up to soon, infections increase but if you don't, economic structural damage will be inevitable. Local governments can't print money. What happens if local governments run out of money? What impact will it have on communities? Economically speaking, is it real...

COVID-19 and regime change? It could happen, as the coronavirus spreads throughout densely populated emerging economies. Do they have the capacity to test and treat the infected? Are those governments telling the truth? Will the local populations demand change? Or will this pandemic be just another obstacle in an otherwise difficult life?

Whether or not the amount of money spent on sports in reasonable or not, America puts a lot of money into sports and there are many tentacles to consider.  From local restaurants in college towns to major television contracts with ESPN, many people and local economies will be effected by the cancellation of sports.  What will happen to sports when COVID-19 finally loosens it's grip on America?  Wh...

We all keep hearing the phrase "eat local" from various delivery services such as Grub Hub, Door Dash, etc. and it shouldn't come as a shock to hear that many restaurants won't make it through the COVID-19 pandemic.  Which restaurants will be at risk of being impacted the most?  What factors will make or break these businesses?  And lastly, what will the restaurant scene look like when we finally...

All said, the stimulus package will be a good thing and we have seen a recent rally in the stock market. However, what people need to realize is that as long as the stock market is on lock down mode, we can throw as much money at it as we want but it's still going to be bad for GDP. Ultimately it will be ok, but what is realistic when it comes to the timeline and impact of the US economy?

As the COVID-19 pandemic sets in the United States, many businesses are being forced to close their doors.  How is the pandemic effecting the local pizzeria versus the Airlines?  Outside of grocery stores and pharmacies, what qualifies as an essential business and who decides which businesses are worthy of a bailout package?

The markets didn't respond well to the Federal rate cut on Sunday, schools are closing, major sporting events have been called off and toilet paper has become a hot commodity.  Small shifts in behaviors have multiplied and people are in a state of panic.  Realistically, we are probably looking at 2-3 weeks before COVID-19 really hits its peak in the US.  Is that enough to derail the economy or wil...

Some market experts have long maintained you can predict future economic growth by looking at interest rates and crude oil prices. Are today's low rates and crude oil prices building a base for growth in the second half of the year or signaling something much more sinister?

After an awful week in the markets and the worst few days in DOW Jones history, John and Sam give an update on COVID-19 and how coronavirus fears are impacting the stock market.  How much longer will this continue?

Recently, I have seen and read more about activists demanding 'we' shift to a plant-based diet. After all, hooved animals, of all varieties (but mostly assumed to be cattle), generate anywhere from 18-50% of the world's greenhouse gases…depending on the source and report. So, what would the world look like if we no longer consumed animal protein? What if we 'outlawed' Elmer, Elsie, Clarabelle, and...