Listen and subscribe to Stocks In Translation on Apple Podcasts, Spotify, or wherever you find your favorite podcasts.
In this episode of Stocks In Translation, Yahoo Finance Markets and Data Editor Jared Blikre and Producer Sydnee Fried speak with Kevin Mahn, President and Chief Investment Officer of Hennion & Walsh. Discussions delve into topics such as dot plots, bull markets, and backdoor AI investment drama.
Mr. Breichle and his colleagues will start by looking at dot plots and charts that summarize the Federal Open Market Committee’s outlook for the federal funds rate and data from economists, but Mr. Mahn warns to “take it with a grain of salt.”
Mahn emphasizes the importance of understanding chart complexity: [is] Each dot represents a different view of voting members on how they believe interest rates are. [going to] It will probably happen within the next two years. But if you look at the dot plot chart, there’s no unanimity there,” Maan says. “In fact, the dispersion between those ideas and predictions varies considerably. It’s a good tool, but you shouldn’t make investment decisions based on it alone.”
When asked how he advises clients in the current market, Maan explained: But the long-term outlook is clearer. ” His reasoning? Since 1946, the average bull market has “lasted 5.3 years with an average cumulative return of 180%,” and as Mahn points out, “the current bull market is only two years old, but new The return is approximately 64.5%. So, if history serves as a guide…this bull market will continue for at least two more years before it reaches its historical average. ”
Finally, we break down this year’s top seven performing industry groups, including utilities with returns of 20% or more.
“One of the areas that I like right now is that you know these data centers are running at high temperatures and consuming a lot of power, so they need a huge amount of cooling HVAC solutions. We just recently discovered a company called Vertiv… Who would have thought that an industrial company would have something to do with AI? But what are they doing? They supply power, infrastructure, and cooling solutions to data centers. These are companies that work with data centers and have nothing to do with AI, but data centers need AI to run. . It’s an interesting investment opportunity. You have to peel back the onion. And you’ll find many more areas to invest in,” Maan adds.
Twice a week, Stocks in Translation cuts through the market chaos, loud numbers, and hyperbole to give you the information you need to make the right trades for your portfolio. Find more episodes on our video hub or watch on your favorite streaming service.
This post was written by John Tejada.