Market MakeHer Podcast

Sometimes, the smartest move you can make is going back to the basics. After 33 episodes of learning this language, I realized something: investing terms aren't just jargon—they're building blocks. Terms compound, just like your money should!And when you understand them in the right order, everything clicks. That's why we're replaying this episode. Jess walks me through essential concepts like capital, stocks, IPOs, mutual funds, ETFs, market cap, dividends, and more, layered in a way that makes the market make actual sense. Whether you're just starting out or need a refresher, this episode is proof that financial literacy isn't complicated when it's explained clearly. And yes, most of it really is in the name.------------------------------------------------

In “The Fed Deep Dive Pt. 4” we discuss the historical evolution of the Federal Reserve's power and priorities. During World War II, the Fed was essentially controlled by the Treasury, pegging interest rates low to finance war efforts, which later led to significant inflation. The 1951 Treasury-Fed Accord granted the Fed independence, allowing it to focus on managing the economy and fighting inflation. The 1970s brought the "Great Inflation," driven by government spending, oil shocks, and the flawed belief in the Phillips Curve, which suggested trading off inflation for lower unemployment. Congress established the Fed's dual mandate in 1977, requiring it to pursue maximum employment and stable prices.In 1979, Paul Volcker became Fed Chair and shifted the approach to combatting inflation by targeting the money supply instead of just interest rates, inspired by monetarist theory. This led to drastically high interest rates, reaching 20%, which induced recessions but successfully brought inflation down. The Volcker era emphasized price stability as the foundation for long-term economic health, and the Fed learned that prioritizing policy over political pressures is crucial. This history highlights the evolution of the Fed's role and the critical importance of its independence and focus on controlling inflation for overall economic stability.The big takeaway? ✨ The Fed learned that price stability is the foundation of everything else—jobs, growth, and economic confidence. ✨ And history shows us what happens when the Fed's priorities get steered by politics instead of policy.------------------------------------------------

Before the Fed existed, J.P. Morgan literally had to bail out the banking system. That's when the U.S. realized depending on wealthy individuals to prevent financial collapse wasn't sustainable—and the Federal Reserve was born.In this episode, I (Jessie!) try to wrap my head around how the Fed went from an emergency backstop in 1913 to one of the most powerful institutions in the world. Jess helps me trace the Fed's messy glow-up: from freezing during the Great Depression to gaining real tools and some independence after World War II.Here's what we learned:The Fed wasn't created to run the economy—it was just supposed to stop bank panics.It failed hard in the 1930s, so Congress gave it more power and structure.During WWII, it worked closely with the Treasury, but inflation forced a breakup in 1951. That split gave us the independent Fed we have today—aka the one that's not supposed to take political orders.It turns out, Fed independence isn't just some finance nerd hill to die on—it's what helps protect the entire economy from political chaos.If you're like me and thought, “Wait, the Fed didn't always manage the economy?”—this episode is for you. And yes, we've got more Fed deep dives coming. Because wow… there's a lot more to unpack.------------------------------------------------

In this episode of Market MakeHer, we're answering your questions and breaking them down in a way that actually makes sense. Questions we answered:– What the Taco Trade is (yes, it involves tariffs, chicken, and market moves)– How to figure out if a stock is “good”, including forward P/E ratios, earnings growth expectations, and analyst reports– The difference between High-Yield Savings Accounts and Money Market Funds, and how rising or falling interest rates impact both✨ Want more? Check out these past episodes we mentioned:

Choosing the best brokerage firm for your investing needs might seem overwhelming, but we're here to help! Most brokerage firms now offer $0 account minimums and commission-free trades. That's the standard, not the standout.These brokerage firms really compete in their tools, features, and support. That's where your needs come into play.Your life will change. Maybe you'll buy a home, get divorced, get married, start a business, have a baby, switch careers, or start planning for a big goal like retirement or a dream vacation. Your brokerage should grow with you.To find the right brokerage firm, ask yourself:Do I want to learn as I go? Look for platforms with strong educational tools that explain the “why” behind each decision.Is it easy to use, or just easy to look at? A clean interface is great, but it should also save you time and help you take action.Do I prefer to manage money on my phone? If mobile is your main device, the app experience really matters.What kinds of investments do I want access to? Beyond stocks and ETFs, consider if you'll want funds, bonds, or retirement accounts like a Roth IRA.How much research do I need to feel confident? If you like digging into details, look for screeners, data, and expert insights.How much money am I starting with? If it's a smaller amount, fractional investing will help you buy into big-name stocks without needing big money.How involved do I want to be? If you're short on time, you might prefer a platform that offers automated investing or robo-advisors.This is your journey. The right platform should meet you where you are, and support where you're headed next. Read the best brokerage guides I've already put together:

If you have debt or you have money, you're in the credit market, whether you realize it or not. It's the largest market in the world, and it impacts everything from your mortgage and auto loan to the savings account you earn interest on. Understanding how it works can help you make smarter decisions about when to refinance, borrow, or invest.Think the Fed controls your mortgage or car loan rate? Not exactly. In this replay, we unpack the real power player...the credit market. From the shape of the yield curve to trillions in government debt rolling over this July, the market ultimately calls the shots.Your mortgage rate? It's tied to the 10-year Treasury yield. Credit card and car loan rates? They follow the curve, too. We break down how the yield curve, built on U.S. government debt, sets the tone for borrowing and saving across the economy. While the Fed influences short-term rates, the market takes over from there, pricing long-term risk, setting interest rates, and moving your money.So why does the government care? Because they're rolling over a mountain of debt in July, and every tick higher on the 10-year makes that debt more expensive. Even top investors like Scott Bessent, a former Soros Fund CIO, are sounding the alarm on the U.S. government's growing interest bill, keeping all eyes on the 10-year Treasury.There's never been a better time to understand how the credit market really works.------------------------------------------------

Let's break down how sector investing works—because sometimes, the easiest way to give your money a job is by starting with an entire sector instead of picking just one company.In this episode, we explain the 11 sectors of the stock market using something called GICS—the Global Industry Classification Standard (sounds fancy, but we'll make it make sense). You'll learn the difference between cyclical sectors that thrive when the economy is booming (think financials, tech, consumer discretionary) and defensive sectors that hold strong even when times get tough (like healthcare, utilities, and consumer staples).Money flows from one sector to the next as the economy moves through the business cycle. From early recovery to late-stage expansion to recession—every stage favors different sectors. We'll show you how to spot the rotation, understand sector tailwinds and headwinds, and use that insight to build smarter investing ideas.By the end, you'll be able to answer:Am I playing offense or defense with my portfolio? And is it time to switch?

How do you know if a stock is "on sale" or overpriced? It's time for a math refresher! In this replay of Market MakeHer podcast episode 59, we learn all about stock valuation and how to look at the price-to-earnings (p/e) ratio to make informed investing decisions. (We mentioned some stocks and referred to how they were performing back in October 2024 - FYI!)   

In Part 2 of our mini-series on “The Federal Reserve aka The Fed,” we break down how the Fed responded to inflation, why they waited so long, and how their decisions affected everything—from interest rates and mortgage costs to job markets and financial markets. This was one of the fastest rate hike cycles in history! It was the result of a tricky balancing act between fighting inflation and protecting the recovering economy. By the way, Fed Powell referred to Tariffs as transitory again recently, and this has actually happened before - that's why the Fed chooses his words very wisely, diction is one of the FOMC's tools in their toolbox. What You'll Learn:What the Fed thought was happening in 2021 (spoiler: they called it “transitory”)How inflation kept rising—and why the Fed had to play catch-upWhat aggressive rate hikes are actually supposed to doAnd what we've learned (the hard way) about responding to supply-driven inflationIf you've been trying to understand how we got from 0% interest rates to 5.5% in under two years, this episode connects the dots. Because once you understand “the why” behind the Fed's moves, the headlines make a lot more sense.

Lately, the market's been moving over 1,000 points a day. We call this volatility fueled by uncertainty. We've been talking about falling yields, rising rates, and now tariffs are back in the headlines… but what if the real story is in the credit market?In this episode, we're replaying one of our favorite breakdowns: bond vigilantes — who they are, how they got their name, and the role they've played in shaping market history. And with everything happening right now, it's more relevant than ever.We walk through what's going on with the 10-year Treasury yield, why a major hedge fund's exit triggered a wave of selling, and how a “buyer's strike” in the bond market could turn into something even bigger. Jess shares why she thinks this yield surge might be what actually caught Trump's attention, and what that means for the rally that followed.We also tie in the basis trade and why volatility in the bond market can be a warning sign for the economy.This episode brings historical context to today's chaos — because once you understand the credit market, you start to see how it quietly drives everything else.------------------------------------------------

Is the market Tariff-ied?

If you've been hearing about inflation but aren't totally sure what it means—or why everything suddenly got more expensive after the pandemic—this episode is for you.We break down what inflation actually is and explain the real reasons prices went up: broken supply chains, government stimulus checks, rising wages, and energy shocks. It wasn't just one thing—it was everything, all at once. But here's why this matters now: Fed Chair Jerome Powell is bringing back the word “transitory” to describe inflation again—this time because of tariffs. We explain what that word means, why it caused so much confusion the first time, and why using it again could be a big deal. This is the first episode in our Fed Deep Dive series—where we connect the dots between the past, present, and what the Fed might do next. ------------------------------------------------

In this episode, we're diving into one of the most important (and misunderstood) topics in the stock market: what happens when things start to go south. We break down corrections, bear markets, and recessions—and how to tell the difference between them—while also exploring whether we could be on the verge of another "lost decade" for investors.We also take a closer look at the current disconnect between how people feel about the economy (sentiment) and what the numbers are actually showing. From cautious consumers and rising savings rates to record-high household debt and steady earnings growth, the story is more nuanced than headlines suggest.If you're feeling uncertain about where the market is headed or what it all means for your portfolio, we've got you. We walk through smart investing strategies, explain the importance of asset allocation (especially as you approach retirement), and share how to stay focused when the noise gets loud.------------------------------------------------

Where to begin when you're new to investing? We are getting back-to-basics with some Investing 101 and money psychology in this episode. We'll discuss what first-time self-directed investors need to know to get started on your investing journey and good concepts for all investors to think about in their investing strategy...along with some important jargony terms, defined, so that you don't get overwhelmed. Investing involves risk, but that doesn't mean you should be afraid to learn how to make your money make money! We can all do it. Your knowledge compounds just like your can and so many barriers to entry have already been broken! Things to remember:*Time in the market is better than timing the market. *The stock market hates uncertainty (creates volatility).*Compound interest and dollar cost averaging are great terms to understand that help you invest wisely, well, and often. Reference Episodes:12. How to Invest in the Stock Market (Step-by-Step)2. Understanding the Stock Market9. How to Choose a Brokerage Firm34. Investing Jargon, Demystified10. How to Read a Stock Quote14. How to Analyze a Stock24. Pay Yourself First29. Investment Risk Tolerance56. How to Construct a Portfolio (Asset Allocation) Chapters:00:00 Introduction to Self-Directed Investing03:21 Understanding the Psychology of Money11:47 The Power of Compound Interest15:00 The Power of Compound Interest15:29 Navigating Market Volatility18:49 Wealth vs. Appearances: The Real Story19:58 Understanding Dollar Cost Averaging24:47 Demystifying Investment Jargon----------------------------------------------------------

We are diving into Warren Buffett's latest shareholder letter for 2024—so you don't have to! We'll break down his biggest takeaways in plain English for you: why Berkshire Hathaway is sitting on a mountain of cash, what Buffett's recent stock moves say about the market, and how his long-term investing mindset has helped him beat Wall Street for decades.Plus, we'll talk about his bets on Japan, why he openly admits to making mistakes (unlike most CEOs), and what Berkshire's future looks like as Greg Abel gets ready to take the reins. If you've ever wanted to invest like the Oracle of Omaha, this episode is packed with insights you can actually use.All Berkshire Hathaway Letters to Shareholders:https://www.berkshirehathaway.com/letters/letters.html ------------------------------------------------

This is an advanced episode, but also a very important episode to help you understand market mechanics and put another piece together in the stock market puzzle we are conquering - with education! We gave you a few replay episodes before this one to help you prepare for a heavy dose of knowledge, so buckle up, because we're about to math real hard. What is Margin Trading or Investing?When you buy a stock on margin, you create the ability to borrow against those stocks. You are required to own a certain percentage of those stocks. Any equity or surplus owned in excess of those percentage requirements, you can create a loan and buy more stocks. A great analogy is a home equity line of credit, or HELOC. But a bit more complicated, because stocks are priced every milisecond, which means requirements change every day, and there are requirements on what you buy with that loan.Risk Tolerance: HighMargin is extremely risky, it provides leverage which means you can make more than you deposit, but you can also lose more. It magnifies gains and losses. You can easily lose a lot of money with this type of investing, so you really gotta know what you're getting yourself into with this type of account!Shorting Stocks Is Extremely RiskyWe'll also discuss the trends on social media around shorting Meta stocks and others and how easily you can lose money quickly when attempting those kinds of trades. ------------------------------------------------

We are revisiting Episode 42, originally aired July 26, 2024, where we look at how AI Power Grid Pressure can also be a headwind to consider in your long-term AI investing strategy. Start with our AI Portfolio and Investment Thesis discussed in ⁠Episode 21⁠ to understand the full AI investing picture.  According to our very own Jess Inskip, "The real ‘P/E Risk' isn't overhyped price to earnings. The risk is price to energy." (Get it? That's a P/E Ratio joke

Y'all asked us for it, here's your AI investing update! Yes, we're talking current landscape of AI investments, AI agents and AGI, of course Nvidia (beyond chips), CapEx Surges, the critical game race, disruption (yes deepseek), earnings, headwinds and more! We always want you to stay informed and help make sure you're "doing your homework” as we say. Remember, diversification mitigates risk. ;) ✨ AI Question to Ponder: The big players in the Artificial Intelligence game are spending money to buy shovels to dig gold…who is selling the shovels? 

This episode was first released on June 24, 2024. We're replaying it for you for a reason! Think of it as a review of some of last year's material before we get into all the investing topics we're going to cover this year.

*previously recorded on 03/15/24, but still relevant* Last week we talked about creating quarterly financial goals with a fun activity, and we thought it would be a good time to also revisit your risk tolerance with this episode we did on the “risk pyramid.”At the time of recording, The Fed still didn't cut interest rates, but projected they would 3 times, so it was a great time to lock in the higher rates that we saw in fixed income securities (bonds, etc) up until several months ago. Did you notice your HYSA interest rate has come down since then? We did prepare you for that, so if you're not able to stay updated on everything going on in the markets and with The Federal Reserve, you might want to subscribe to the podcast.

It's the beginning of the year, which means it's time to reset those financial goals, but we're making it more attainable (and fun!) by breaking it all down into a quarterly game. If you happen to have ADHD like us, your brain will thank us.

This week, we're diving into the key market themes of 2025—what's shaping up to be a monumental year for self-directed investors. We'll unpack the trends driving infrastructure investment, tariffs with a twist, deregulation fueling innovation, and the evolution of retail trading. This episode is packed with actionable insights to help you navigate 2025's most important stock market predictions. From infrastructure to innovation, you'll learn how these themes could shape your portfolio—and discover the questions you should ask as you plan your next investment moves. Jessica Inskip breaks it all down with her 15 years of expertise, while Jessie DeNuit asks the questions you might be wondering yourself. We also drop hints about what's ahead this season on Market MakeHer! So, if you're ready to start the year informed and empowered, hit play now. Jessie's Questions: What does “modernizing infrastructure” really mean? If you already have S&P 500 index funds in your portfolio, are you investing in this trend? What other stocks or sectors should you research to diversify? Didn't tariffs tank the market in 2018? How is 2025 different, and what's a “dovish Fed”? Can tariffs actually work in the market's favor this time? Does deregulation mean rolling back rules for companies? Could that hurt consumers? How does deregulation tie into the AI boom? What's the difference between capital expenditures (CapEx) and operating expenses (OpEx)? How might deregulation benefit businesses while balancing innovation and oversight? What exactly is retail trading? Does 24-hour stock trading mean you can trade anything, anytime? Why would anyone trade options at 3 a.m.? Is 24-hour trading really a game-changer for investors like you? ------------------------------------------------------------- Looking for unbiased, curated financial insights delivered straight to your inbox? Subscribe to the 1440 Business & Finance Newsletter, our trusted sponsor, and elevate your financial literacy—it's free and bi-weekly!This ad is sponsored by 1440 Business and Finance. --------------------------------------------------------------

Can you believe it's already the end of 2024? What a year it's been! In this episode of Market MakeHer, Jess and I look back at all the major events that shaped the stock market this year. From the AI led rally to the Fed finally cutting rates, we're breaking it all down. —----------------------------------------------------- Looking for unbiased, curated financial insights delivered straight to your inbox? ⁠Subscribe to the 1440 Business & Finance Newsletter⁠, our trusted sponsor, and elevate your financial literacy—it's free and bi-weekly! This ad is sponsored by 1440 Business and Finance. —----------------------------------------------------- Here's what we're covering: How interest rates, inflation, and unemployment shaped the economy. The AI narrative and why big tech couldn't carry the market alone. The best- and worst-performing sectors of the year (spoiler: Energy did not have its moment). Why Fed policy was behind most of the year's biggest market moves. This is your ultimate highlight reel of 2024—perfect for anyone who wants to feel smarter about the market and ready to tackle 2025. Whether you're a beginner like me or a market pro like Jess, we've got you covered.

*This content was taken from Episode 35, which was originally recorded in May 2024, but has been edited to mainly focus on the important terms PCE, PPI & CPI to help put into context the new data we are seeing now in December 2024 and how it affects us as consumers, workers, and investors.*  —----------------------------------------------------- Looking for unbiased, curated financial insights delivered straight to your inbox? Subscribe to the 1440 Business & Finance Newsletter, our trusted sponsor, and elevate your financial literacy—it's free and bi-weekly! This ad is sponsored by 1440 Business and Finance. —----------------------------------------------------- What Is PCE (Personal Consumption Expenditures)?The PCE price index is considered The Fed's preferred index. It's kinda like how we use the S&P 500 indice to measure the stock market, but it's a price index that measures specific goods and services and it's regionalized. Basically, it's a guage on what Americans are spending and helps track inflation. It's currently +2.8% YOY (October 2024), which is up from +2.7% in September 2024 - not what we want to see, we'd like to see it go down. Resource: Updated Core PCE Link (excludes food and energy)  In Episode 15 we explained inflation and learned about PPI & CPI:  PPI: producer price index = is the perspective of the seller  CPI: consumer price index = is the perspective of the buyer  Updated PPI Data   What is the difference between the CPI and the PCE Index?The CPI measures the change in the out-of-pocket expenditures of all urban households and PCE measures the change in goods and services consumed by all households, and nonprofit institutions serving households. Dot Plot (summary of economic projections from the FOMC) ----------------------------------------------------

It's the end of the year...what are we supposed to be doing with our finances? Allow your finance-sis to tell you.

What is insider trading and what can we learn from the highly-politicized Martha Stewart case regarding illegal insider trading? Find out on this episode of Market MakeHer. 

What is a bond vigilante? The Batman of the bond market? Kinda. In the last episode, we learned the bond market is the most powerful and influential market. Bond vigilantes are big-time bond investors who can use the power of selling bonds to influence the market and protest against fiscal and monetary policy (basically, they try to put restraints on the government from over-spending and over-borrowing, especially when inflation is high). It has happened during Reagan's term and throughout history, and it seems like they are back! What do bond vigilantes do? When bond vigilantes sell significant amounts of their bonds, they drive bond prices down and yields up, making it more expensive for debt issuers (companies or governments) to borrow money. They do this to get someone's attention when they don't agree with fiscal policy.  Pre-Requisites (these episodes are other pieces of the puzzle you need to know): 64. How the Credit Market Influences Your Interest Rates 52. Introduction to Bonds 29. Investment Risk Tolerance (the Risk Pyramid) 18. Understand The Yield Curve… 6. The Fed (who they are & how they work) - this one has good episode equity too Key Takeaways and Important Concepts: * A treasury is a “fixed-income product” commonly referred to as bonds. * Companies can issue stock to raise capital (money), and they can also issue debt in the form of a fixed-income product. You lend them money and they pay you back with interest. * Governments can also issue debt from the Treasury, which funds are very large country deficit (debt, kinda like credit card debt). And that's how the government can get more money for fiscal policy.  * Bonds are traded second-hand on the secondary market just like stocks. * Bonds and Yields (interest) have an inverse relationship, they move opposite of each other.  * Rising bond yields = higher borrowing costs = higher mortgage rates, credit card rates, and borrowing costs for all of us. —-------------------------

What is the credit market and how does it determine our loan interest rates? It's actually the same thing as the bond market, and we consumers all participate in it. Join us as we delve into the intricacies of the credit market and how it influences interest rates across various financial products, including credit cards, auto loans, and mortgages.  We will also discuss the yield curve, the role of the Federal Reserve (aka The Fed), and how understanding these concepts can empower consumers to make informed financial decisions. The financial system is interconnected like a giant puzzle. We're here to help you put all the pieces together and learn how to make the system and your money work for you!   Takeaways✨ Interest rates on loans are influenced by the yield curve. ✨ The credit market determines interest rates for various loans. ✨ The Federal Reserve impacts short-term rates directly. ✨ Understanding the yield curve helps in making financial decisions. ✨ Consumers can influence the stock market through their spending. ✨ Credit card rates are tied to the prime rate, which is influenced by the Fed. ✨ Auto loans are typically tied to the middle of the yield curve. ✨ Mortgages are related to the 10-year treasury yields.  Episodes mentioned:18. Understanding the Yield Curve 52. Intro to Bonds    Donate To Our Financial Literacy Mission  Still Have More Questions or a Comment? 

Now that the U.S. election results are in, we're discussing the “elephant in the room” - that is, the implications of potential Trump administration policies on the stock market. We're focusing on tariffs, immigration, tax cuts, deregulation, and the Fed's role. (Papa Powell was serving it neat at the latest FOMC meetings). How will these factors influence market dynamics, inflation, and economic growth? What does it all mean for self-directed investors?   We'll also define what all these terms mean to help you stay aware of false claims you see on social media (so many videos about tariffs that are getting it wrong). And we'll discuss the risks of stagflation (new vocab term!) and the historical resilience of the S&P 500. As we all know by now, time in the market is your best strategy and we always encourage our listeners to stay informed and invested for long-term success.   Talk to a financial advisor or at least do a little more investigating before making any rash decisions with your portfolio. We're always here to educate** and make you fin-fluent, not fin-fluenced.

Today we're learning allllll about IRAs (individual retirement arrangements/accounts) including Roth IRAs, Traditional IRAs, Rollover IRAs and SEP IRAs. You'll understand contribution limits, tax implications, and eligibility requirements for each account. As always, we aim to empower you with all the knowledge you need to make informed decisions for future you. This is not advice.      ✨Roth IRAs are best for you if you are in a lower income tax bracket and do not need a tax break, because you are taxed upfront, not later.  ✨Traditional IRAs are best for you if you do not qualify for a Roth, or if you need a tax break… if you qualify for the deduction. The benefits are before tax dollars, offering you a tax break if you are eligible bc you are in a higher tax bracket.  ✨Rollover IRAs you rollover an employer sponsored plan, like a 401k in the plan you want to keep them separate so you can roll it back into a new 401k plan at a new employer.  ✨SEP IRAs are best for small business owners who do not want the complexities of 401ks. There are higher contribution limits, and all contributions are made by the employer.        Contribution LimitsYou have to have taxable compensation and your modified AGI. Beginning in 2024, the IRA contribution limit increased to $7,000 ($8,000 for individuals age 50 or older) from $6,500 ($7,500 for individuals age 50 or older). This stayed the same for 2025.   Resources:  Contribution limits: https://www.irs.gov/publications/p590a SEP IRA FAQ: https://www.irs.gov/retirement-plans/retirement-plans-faqs-regarding-seps  Still Have More Questions or a Comment? 

⁠Subscribe to our Weekly Stock Market Update Newsletter!⁠ This Week in the Stock Market: 11.04.24 In this episode of Market MakeHer, we're trying something different. We've taken our weekly SMU email and given it to AI to create a separate podcast series. That's right, the email newsletter is also a podcast read by Artificial Intelligence. The hosts discuss key insights from the latest stock market trends, focusing on earnings season, economic indicators, and the contrasting performances of major companies like Amazon and Apple. They emphasize the importance of understanding market dynamics and the implications of Federal Reserve decisions on interest rates. The conversation highlights the need for self-directed investors to stay informed and consider broader economic contexts when making investment decisions. Takeaways The S&P 500 has seen its fifth straight quarter of growth, but fewer companies are exceeding earnings estimates. Analysts are forecasting earnings growth through 2025, despite current market caution. The upcoming election is creating uncertainty, leading businesses to hold back on major decisions. The jobs report showed a significant miss in job growth, attributed to external factors like hurricanes and strikes. Investors are anticipating a 0.25 percent rate cut from the Federal Reserve, despite weaker job numbers. Amazon's positive holiday forecast led to a surge in stock price, while Apple's subdued outlook tempered enthusiasm. Guidance from companies is crucial and can significantly impact investor confidence. Economic indicators like consumer confidence and jobless claims are vital for understanding market health. The Federal Reserve's interest rate decisions have a ripple effect on the economy. Investing requires a deep understanding of company strategies and market dynamics. Ask Us a Question, Leave a Review, Follow, Subscribe:

Since we recently learned about Stock Lending, Short Selling, P/E Ratio, and Stock Valuation in the last 2 episodes, we figured it's a good time to revisit our episode on Dark Pools, PFOF, Order Routing, and Market Makers (not to be confused with Market MakeHERS

How do you know if a stock is "on sale" or expensive to buy right now? In this Market MakeHer podcast episode, we'll learn all about stock valuation and how to look at the price-to-earnings ratio to make informed investing decisions.     We discuss how to determine if a stock is overpriced or underpriced, the significance of earnings potential, and the role of analysts in shaping market perceptions.  

In this episode of the Market MakeHer podcast, we delve into the topic of stock lending, addressing a listener's question about whether retail investors should participate in this practice. We explain the mechanics of stock lending, its relationship with short selling, and the potential benefits and risks involved. The discussion also covers tax implications, ownership rights, and the impact of stock lending on market dynamics. Takeaways Stock lending allows investors to lend their shares to short sellers. Short selling involves selling borrowed stocks with the intent to buy them back at a lower price. Investors can earn interest from lending their stocks, but brokerage firms take a portion. Lending stocks means giving up voting rights and receiving cash in lieu of dividends. Market dynamics can be affected by increased short selling, leading to downward pressure on stock prices. Tax implications of stock lending can differ from traditional dividends. Investors can opt into stock lending programs at various brokerage firms.

Subscribe to our Weekly Stock Market Update Newsletter! In this episode of Market MakeHer, we're trying something different. We've taken our weekly SMU email and given it to AI to create a separate podcast series. That's right, the email newsletter is also a podcast read by Artificial Intelligence. The hosts delve into the current state of the stock market, focusing on earnings season and the importance of economic indicators. They discuss the concept of market broadening, highlighting the need for growth across various sectors rather than relying solely on major tech companies. The conversation also covers key economic indicators such as PCE, inflation, jobless claims, and retail sales, explaining their significance in understanding market dynamics. Finally, they address the Federal Reserve's efforts to achieve a soft landing for the economy and emphasize the importance of staying informed as market conditions evolve. *This episode is produced by artificial intelligence sourced from our weekly stock market newsletter* Key takeaways: Market broadening is essential for a balanced economy. Earnings season shows a positive trend with 79% of companies exceeding expectations. (6% of 500 have reported, though) The financial sector is performing well, while the energy sector is struggling. PCE inflation is a key indicator monitored by the Federal Reserve. Jobless claims provide insight into the health of the job market. Retail sales reflect consumer confidence and spending habits. Housing starts indicate builder confidence in the market. The Fed aims for a soft landing to control inflation without triggering a recession. The stock market anticipates future growth, not just current conditions. Staying informed about economic indicators is crucial for investors. Let us know what you think! Ask Us a Question, Leave a Review, Follow, Subscribe:

What Is Portfolio Management and Asset Allocation? Put On Your Construction Hats.  So you started investing in the stock market, now what? Want to learn how to construct an investment portfolio or manage your retirement portfolio? In this episode of Market MakeHer, hosts Jess Inskip and Jessie DeNuit delve into the intricacies of portfolio management and investment strategies. They discuss the importance of constructing a well-diversified portfolio, understanding personal financial goals, and defining risk tolerance. The conversation emphasizes the need for regular rebalancing and adapting to market changes, while also highlighting the role in using analyst recommendations or using a robo-advisor or financial advisors for investing guidance. Remember, you can always call up your brokerage firm and ask questions for free. Or you can submit a question to us.       Types of portfolio asset allocation:  Conservative, Balanced, Growth, Aggressive Growth    Links: Morning Star X-Ray Tool  Risk Tolerance EpisodeTakeaways Identify your investing goals. Define your risk tolerance.  Construct your asset allocation. Make sure you are diversified. Rebalance and Adjust your assets. Understand when to hold or sell investments. Investing is a lifelong journey that requires regular review.

[This episode was originally recorded on July 05, 2024, before Biden dropped out of the Presidential Election Race. We examined historical data, facts, and statistics of what happens to the stock market when there is a Republican vs Democrat as President of the U.S.] During election years, the stock market tends to experience increased volatility due to the uncertainty surrounding the outcome. However, historical data shows that the stock market performance during election years does not significantly differ from other years. The median annualized return for the stock market since the 1900s is 7.7%. The performance of the stock market is more influenced by factors such as economic growth and corporate earnings rather than the political party in office. It is important to stay invested in the market and focus on long-term growth. Key Takeaways: The stock market tends to experience increased volatility during election years due to uncertainty. Historical data shows that the stock market performance during election years does not significantly differ from other years. The performance of the stock market is more influenced by factors such as economic growth and corporate earnings rather than the political party in office. It is important to stay invested in the market and focus on long-term growth.

It's time to give your money a job, but if you can't decide on a company, you can start with a sector. GICS stands for the Global Industry Classification Standard and they set the classifications for the 11 sectors. 2 Types of Sectors: Cyclical sectors are sensitive to economic conditions. They do well when the economy is growing but can struggle during recessions. These sectors are more volatile, but high risk can also equal high reward. Defensive sectors are stable across all economic conditions because they provide essential goods and services that people need regardless of how the economy is doing. They can be considered recession-proof. The 11 Sectors: 1. Energy 2. Materials 3. Industrials 4. Utilities 5. Healthcare 6. Financials 7. Consumer Discretionary 8. Consumer Staples 9. Information Technology 10. Communication Services 11. Real Estate

The Fed aka The Federal Reserve finally cut interest rates. Papa Powell (aka fed chair Jerome Powell) announced this week the federal funds rate is cut by 50 basis points (which means .50%). This might not seem like much to consumers like us, but cutting it by .50% in one meeting is actually a pretty big deal. Normally, everyone would flip out over something like this and wonder if it means we're in a recession or about to be, but this time, EVERYONE was anticipating it and prepared for it. The stock market is actually at a high today. The S&P 500 rose to a new high today topping the record set July 16th. It's up 11% since from its low on Aug. 5 when recession panic peaked after the brutal July jobs report. This year, the S&P 500 is up about 19%, despite high interest rates and everything happening in the world this year.    We explore economic indicators, the housing market dynamics, employment trends, and the Fed's dual mandate of balancing maximum employment with price stability. The conversation also touches on the political influences on monetary policy, the definition of inflation, and current market trends, providing listeners with insights into navigating the evolving economic landscape. The Dot Plot: https://www.federalreserve.gov/monetarypolicy/fomcprojtabl20240918.htm Still Have More Questions or a Comment? 

What Is A Bond? What Are The Different Types Of Bonds? How Do You Buy Bonds? In this episode of the Market Maker Podcast, Jessie and Jess delve into the world of bonds, discussing their significance in the financial market, the mechanics of how they work, and the various types of bonds available for investment. Explore the relationship between interest rates and bond prices, the importance of credit ratings, and the risks associated with bond investments. We also cover municipal bonds and how to invest in bonds through direct purchases or funds. This is an educational guide to help you understand bonds and their role in investment portfolios (not advice, duh

We are revisiting the business cycle and how it relates to the menstrual cycle, much like we did in ⁠Episode 13⁠ on Recessions, but we compare the phases in each cycle, side-by-side this time and break it down further.   What Is The Business Cycle? The Business Cycle is Periods of economic expansion and contraction based on the 3-Ds we discussed last time: depth (how bad is it?), diffusion (how widespread?), and duration (how long?) of a broad range of economic indicators.  The periods of expansion and contraction begin and end with what is called “turning points” as defined by the ⁠NBER⁠ (National Bureau of Economic Research). The turning points become peaks and troughs. Peaks are when the economy is slowing down. Trough is when it picks back up. Why Does It Matter? Monitoring economic data, such as GDP and unemployment, is crucial for assessing the health of the economy and making informed investment decisions. The stock market is not the economy, but it is closely related to the business cycle and the health of the consumer. Understanding the business cycle can help investors anticipate market trends and adjust their investment strategies accordingly. Hard Landing vs Soft Landing vs No Landing Soft landing is a slowdown in economic growth with a controlled reduction in inflation (think of a pilot making a slow controlled descent under the cloud cover to safely land a plane) and it's usually followed by a period of growth. Hard landing occurs when the economy contracts sharply due to the central bank's efforts to control inflation (raising interest rates too high for too long). No-landing occurs when the economy continues to grow despite a series of contractions in monetary policies.    "The business cycle, it's like the menstrual cycle, more than just a period."     In this analogy: The Uterus is the Economy The Business Cycle is the Menstrual Cycle  The Stock Market is NOT the economy, it's a bunch of companies. So in this example, it could be companies selling pads, tampons, birth control, etc. [Disclosure: we're not medical doctors or scientists, so just go with our analogy for funsies.]      The Business Cycle Compared to the Menstrual Cycle The business cycle is economic phases of expansion and contraction, similar to the Follicular and Luteal phases of the menstrual cycle, with peak and trough turning points, similar to Ovulation and Menstruation. We also discuss the importance of monitoring economic data, such as GDP and unemployment, to assess the health of the economy and make informed investment decisions. New data will be coming out the day this episode is released. ⁠⁠Subscribe to Our Newsletter⁠ ⁠ to stay informed! Related Links: ⁠Ep 13. Are We In A Recession?⁠ ⁠FRED - St. Louis Fed Dashboard⁠ ⁠NBER - National Bureau of Economic Research - Business Cycle Dating chart⁠ Still Have More Questions or a Comment? 

Stock Market Update (SMU) Let's discuss and demystify the recent volatility in the stock market, NVDA earnings, Jackson Hole highlights including rate cuts, and the dreaded "R" word (recession).

Continuing our "Better with my Finance-Sis" Mini-Series, in part 2 we talk all about Funds! But not just the different types of investment funds, also the difference between Passive and Active Funds. Passive Funds vs Active Funds What is a passive fund? Passive funds usually have lower expense ratios, with a more simplified investment strategy and less involvement of fund managers (or they can also be managed by computers).  They do still follow a benchmark and aim to deliver returns with that benchmark, and are still subject to 2 important items we need to cover called: expense ratio and tracking error.  Tracking Error Defined:  Tracking error is a measure of how closely a portfolio follows the index to which it is benchmarked. Expense Ratio Defined: The expense ratio is how much of a fund's assets are used towards administrative and other operating expenses. Because an expense ratio reduces a fund's assets, it reduces the returns investors receive. What is an active fund? Active funds typically feature higher expense ratios, attributed to the fund manager's in-depth research, analysis, and management efforts. Funds We Discuss: Money Market Funds Mutual Funds Target Date Funds ETFs - Exchange Traded Funds Fixed Income Funds ✨ Follow Jacey Saige on ⁠⁠TikTok⁠⁠ and ⁠⁠Instagram⁠⁠ ✨ ✨ Follow Jess Inskip on TikTok and Instagram ✨ ✨ Follow Jessie DeNuit on TikTok and Instagram ✨ Still Have More Questions or a Comment? 

The stock market has been having quite the week since our last episode on the Fed's decision to NOT do a rate cut and the resulting effects of the not-so-great unemployment numbers that came out last Friday. Recipe for disaster? Is the stock market crashing? Why was there a sell-off and what is a market sell-off? And is this a good time for us self-directed investors to invest more, like, is the stock market on sale? What were the sell-off ingredients?  The Carry Trade (Yen Got Stronger) The Sahm Rule (Recession Indicators) Recession FEAR (Emotional Investors) Sell-Off Decline: Pull-Back, Correction, Bear Market? We all know that the stock market recently tanked and there was a huge sell-off. Was this a pull back or a correction, are we in a bear market.  The difference is a decline of: Pull back = 5-9%  Correction = 10 -19% (Stock Market Is Currently Here) Bear market = >20% ✨The recent turbulence was the most severe since the 34% decline that occurred in Q1 2020. ✨ Market corrections happen almost every year. Since the early 1980s, there's been a greater than 5% drawdown in the S&P 500 Index in every year but two (1995 and 2017). ✨ The stock market has historically recovered quickly from corrections. The average time to recovery from a 5%-10% downturn is three months. The average time to recovery from a 10%-20% correction is eight months. ✨80% of corrections since 1974 have not led to a bear market. ✨ There's a 73% probability of a double rate cute (.50%) How do we know we are in a recession?  Great Analogy: https://www.tiktok.com/t/ZTNgX6jUW/ Related Episodes: Ep. 46) Fed Update: What is Event Risk? Could it Trigger a Sell-Off? Ep. 45) What is Market Breadth & Concentration Risk? Why Should YOU Care? Ep 18): Understand the Yield Curve, Treasury Bonds, and Stock Market Impacts Ep. 15)  Are we in a recession? What and who defines a recession? Ep. 14) What's going on with Inflation? Still Have More Questions or a Comment? 

We recorded this on 08/01/2024, knowing that unemployment numbers will not drop until this podcast airs on 08/02/2024, and that might also change so keep that in mind. **Employment Report Update from Jess** Fed's View on Labor Market: Fed Chair Jerome Powell stated that the changes in the labor market are "broadly consistent with a normalization process." However, policymakers are closely watching for signs of deeper issues. Unemployment Report Highlights: Unemployment Rate: Jumped to 4.3% in July, the highest in nearly three years. Hiring Slowdown: Significant reduction in hiring activities. Concerns: Increased fears of a weakening labor market and potential recession. Trend: This is the fourth consecutive monthly increase in unemployment, rising from a five-decade low of 3.4% in April 2023. Cause: The slowdown is driven by weak hiring rather than layoffs. Following the release of the employment data: U.S. Treasury yields dropped, meaning bond prices rose and we are in a sell off. Fed Meeting Notes aka The Powell-Point Fed Chairman Jerome Powell announced on the latest FOMC press conference that there will NOT be any rate cuts. We're shocked, really. Let's go through the data! It's no secret that most of us Americans are feeling the impact of higher rates to borrow money and inflation. But finally! It's not just us smaller consumers feeling the heat, larger companies are as they reported revenue declines. And if the big companies feel it, they will have to make some changes. Price Stability + Max Employment & Event Risk Something feels broken. The Fed has a toolkit to use when something is broken. Which means: rate cuts! What does it mean for you? We might see some sell-off in certain sectors. But that is normal rotation. Remember, this is not financial advice, but we have some episodes on What Is Inflation, CD Laddering, Bond ETFs, Are We In a Recession, etc., for you to understand what happens when the Yield Curve is de-inverted and what happens when rates inevitably get cut. Are you going to move your HYSA money into a Treasury, CD Ladder, or Bond Fund? Investing Rollercoaster DON'T be an emotional investor. You are buckled in for the long ride. The full rollercoaster. Time in the market is the most important and we've seen that even though the market goes up and down, the S&P 500 has continued to go up over the history of time. Also, when rates get cut, it usually trickles down to us with more competitive loan prices (auto loan, home loans, etc.) Still Have More Questions or a Comment? 

Inflation is at an all-time high and so is the stock market. This is a tale of two markets. How is the S&P 500 making record highs when so many Americans are living paycheck to paycheck? We're going to break it all down. What's happening in the stock market, what the S&P 500 actually is, what market breadth and concentration risk means and why it all matters to you! We also discuss small-cap, mid-cap, large-cap, and even mega-cap companies in your portfolio, briefly, because the small-cap companies are starting to come up. This one is a little intermediate, but all very valuable info when you are a self-directed investor learning how to manage your portfolios to reach your goals.

Let's refresh and re-assess our financial planning goals for our future selves. You've budgeted, you've saved, you've looked at what you've got going on in your spending and bills and what you have left over - what do you do with that extra money? (Invest it, of course