Transcript was automatically generated.

0:00:03 – Announcer

Wall Street Unplugged looks beyond the regular headlines heard on mainstream financial media to bring you unscripted interviews and breaking commentary direct from Wall Street right to you on Main Street.

0:00:16 – Frank Curzio

How’s it going out there. It’s October 29th. I’m Frank Curzio. This is the Wall Street Unplugged podcast. where I break down the headlines and tell you what’s really moving these markets. Mr Creech, what’s going on, man? How’s everything? 

0:00:31 – Daniel Creech

Everything’s good. Frank, I missed you last week again. 

0:00:34 – Frank Curzio

It’s great to see you. Great to see you. You’re going to be missing me a lot. I’ve got a conference coming up. I’m going to miss Wednesday’s podcast because I will be at the New Orleans conference. That’s right. You’re going on another vacation. Another vacation Doing lots of business, lots of good meetings set up. You know I feel bad for those guys because they were so pumped with this. 

It’s a pretty big conference, new Orleans. It’s been around for decades. Last year it was really weak. You know gold wasn’t really doing that good. It was okay, but you know the crowd wasn’t that good. A lot of these conferences one in Denver, they’re very crowded, lots of deals going on, and then this one already in set, gold was at all-time highs and we see a 20% pullback. A lot of these stocks are getting hit right now. Hopefully we don’t lose that excitement. Those are conferences that really need a lot of excitement because the content can sometimes be a little boring, because everyone goes up there and tells you the exact same reason why they’re buying gold every single presentation. You have geologists up there talking about rocks. It’s not the most entertaining thing, but when you feel a vibe, I mean you’re going to feel it. I think when gold and silver where they are, they pull back a little bit, but it’s really nice to see. 

0:01:34 – Daniel Creech

Yeah, do you think the average Joe understands the opportunity there? No, like the pullback is a gift. I mean, that’s what you want going into that conference and we’ve seen it. 

0:01:42 – Frank Curzio

We’ve seen it in 2022. We’ve seen it. This is how trends work. I mean, you’ve seen the Bitcoin numerous times, right, and Bitcoin’s pulling back a little bit. Now. It gives you these opportunities, right? It’s not this straight line up in the air when everybody thinks, even though Mark’s at all-time highs, but a lot to get to today, I think a lot to get to. 

0:02:00 – Daniel Creech

Not Frank. We got to start. I already teased this. We got to do this. 

0:02:03 – Frank Curzio

He’s so excited. 

0:02:04 – Daniel Creech

The NBA. I am so excited about this. I don’t know who watches the NBA because it’s not entertaining. However, Frank, it’s fixed. We love it. This is great. Take a victory lap for all you guys out there that the world is ending and every time a shot is missed, you can just say those guys are shaving points. Frank, a head coach, an existing player who, I believe, makes $25 million a year, give or take For a year $97 million contract Other ex-players. What say the sports guru, Frank Curzio, about the latest scandal in the NBA? 

0:02:34 – Frank Curzio

I think the biggest scandal is watching a Knick game yesterday and Giannis took five steps. He went dribble one, two, took two big steps, gave the guy a, a huge elbow and scored. I don’t know if it was an M1. And it was five steps. It was five steps and they didn’t call it. They were like that’s fine. 

0:02:50 – Daniel Creech

That’s good. Have you heard the rock song? Give Me Five Steps. It’s three steps, people. 

0:02:55 – Frank Curzio

I’ll tell you I don’t know if Chauncey Billups is really like that he’s talking about it, but they have nothing saying that he actually did or profited from it. 

0:03:08 – Daniel Creech

He’s more on the poker side, not the NBA side, that’s different. 

0:03:11 – Frank Curzio

But some of these other guys you have to realize if they’re making money. I’m not talking about someone who’s making $25 million a year, but someone who had a $100 million contract and it’s up after the past five years and they haven’t really been making as much money. These guys buy $20 million houses. They buy 25 cars. A $25 million house is going to have a $3 million expense to it every single year and when you don’t have that income coming in anymore, maybe you get side jobs and stuff like that. 

I’m not talking about the Tom Brady $300 million announcement deals but, sometimes they get a deal for maybe half a million dollars, but just the expenses, the taxes and what this stuff adds up to. And then they just caught it. It was a tax lien, I think for $8 million on one of the guys and stuff like that, and you see that come out. But I mean no surprise here. I mean what do you think was going to happen when it comes to gambling? I mean it’s everywhere. I remember the time when they used to you know, pete Rose gambling like Michael Jordan gambling. It was the worst thing. Gambling doesn’t belong in sports. Now you have Charles Barkley, you have all these guys in the middle of the game. 

In the middle of the game, second quarter’s going to start and they’re like hey, luka’s going to, you know, have three rebounds. I’m betting the over on this. I mean, what do you think’s going to happen? But you college, holy cow, those games are huge. It could easily fix. There’s not a lot of kids. It’s kind of like the scandal that we saw getting into colleges. How did they get into these colleges, these kids? By paying. How did they pay? They didn’t pay like the big wigs, they paid like the tennis coaches making a hundred grand a year at Stanford to say, hey, you know what? Give our kid a scholarship. Who’s decent? Not even that. And they’re able to get in because you know, the higher ups is different. But when you go lower in that chain, you’re going to see, you know, more of the fraud take place. And I just think this is the beginning. It’s going to be a lot more coming out. So we’ll see. 

0:04:51 – Daniel Creech

Yeah, absolutely Selfishly or kind of tongue in cheek. I’m excited is probably the wrong word, but it’ll be wild to see who what what happens there. I will say this for all you sports fans, I included I don’t think it’s all fixed, but there is a lot of screwery going on, obviously because Frank, in 1919, arnold Rothstein allegedly never proven, that’s great Fixed the World Series or was you know accused of it, paid off some players and such. Since 1919, what have we done other than add billions of dollars to the sport and gambling? Okay, so if you’re going to tell a redneck at heart like me that you just added billions of dollars to your point, you glorify the idea of betting now and you think it’s the most cleanest game in the world. Get the Florida out of here with that. Let’s get to some stats. Frank, imagine I mean you got to give credit to Arnold Rothstein. 

0:05:35 – Frank Curzio

Imagine fixing a whole world. 

0:05:45 – Daniel Creech

I mean he had. I don’t want to idolize that lifestyle, but, um, you know, in this worldly context you have to tip your hat to that guy on that just otani, who’s absolutely insane. 

0:05:54 – Frank Curzio

I love the series too, too, by the way, in the world series, but you know no, that’s right, baseball is like insane. 

But imagine fixing the world series. Because he you know, I love otani because his translator was betting on all these games and he said said, he didn’t know about it. And I could picture, once he got caught, otani’s like, look, I’ll give you $10 million, just shut the F up. And he’s like, okay, there’s no way he didn’t know about it. It’s your translator. You talk to that guy every single second you’re in America. They translate stuff to you, come on. But it’s fine. And you have an argument at every single place. You could argue that and the stats are unbelievable. What that guy is capable of doing, this is unbelievable, although he got wrecked pitching yesterday. Good series, we’ll see. Toronto’s a real deal. Toronto’s a real deal, cool. 

Let’s get to some of these stories, which is incredible Because when you don’t have earnings season, you watch CNBC, you watch a Fox Business, you’re watching whatever channel you’re watching, and the stories are just so like you know, you have to force it because we have a 24 hour media cycle. So there’s stuff that you’re talking about, like Trump and the White House and all this garbage and stuff like that. But there’s a little bit of news now. He’s around a corner. So the Fed meeting later today, expected to cut rates by 25 basis points. I remember when the Fed meetings were a big deal because this one, no one really knew who was coming until like a day or two. It’s not the top story. I mean top five stories, right, because everyone’s expecting the same thing. We’ll get to that in a minute. 

Trump is meeting President Xi, which is a big deal because the back and forths and he’s pissed and he’s not pissed, and now both are talking positively. President Xi bought soybeans just as a token of faith, and Trump is saying hey, you know, jensen Wong is bringing Jensen Wong in to talk of video and chips and stuff like that. So the fact that they are meeting is a huge positive for the market, talking about two biggest economies in the world. And then we have something called earnings, which have started. But you have Alphabet, meta, microsoft reporting after the close tonight, and then Apple and Amazon reporting tomorrow. Those companies alone, those five, have a market cap, combined market cap of over $20 trillion that are reporting in what the next 30 hours or so. 

So it should be interesting, but I guess we should start with the Fed While they expect to cut rates by that 25 basis points. No surprises there but also expected to really talk about quantitative tightening, how they’re cutting it and they’re easing it and getting rid of it, and that, I think, is going to dominate this conversation, along with what they expect to do in December, because we’re pricing a December cut. Again. This is not a surprise ending QT, they call it, but I think talking about it and hearing his thought that could be market moving, to see exactly when they’re going to start he started talking about that a few months ago and also December, I mean he’s going to be more dovish, more hawkish. I see more hawkishness. You have inflation is creeping up, hawkishness, yep, hawkishness. So you see it’s interest rates right. We see interest rates are kind of held steady and Q2 will help those go lower, but overall, when you see inflation going higher, unemployment is pretty weak though, which we’ll get to in a minute. 

It’s going to be interesting to hear his commentary on if we’re definitely getting a cut, another cut in December or not. We’re pricing it in very high pricing, high odds of pricing in, but let’s see. When he talks and I always say I don’t think it’s going to be market moving when I say that it usually is market moving he comes out and says listen, we’re done with rates. You’re going to see an impact in the market at these levels, because all you need is a tiny little negative when you’re seeing stocks roar higher like this and some of these names are really going are insane right now. Some of these moves you can’t deny it, there’s a lot of value in the market. I truly believe that We’ve been showing our subscribers that. But you know, this Fed meeting should be a big deal, but right now it doesn’t seem like. And listen to the medias. 

0:09:22 – Daniel Creech

No, and I agree with you. Quickly on the balance sheet here thing. Listen, if they don’t cut 25 basis points and, Frank, as he said, if he hints that there’s no more cuts, that would be market moving lower. I don’t think that would last very long, but we’ll have to see about that. On the balance sheet thing here, Frank, a couple of items here. So you go pre-pandemic, pre-covid, pre-shutdown lockdowns, all that kind of stuff. The balance sheet for the Fed was roughly $4 trillion. It exploded to $9 trillion during the whole COVID issue and stuff. Then they start this quantitative tightening, letting bonds roll off and don’t print money. Yes, out of thin air, Willy Wonka, wizard of Oz type stuff to replace those, Frank, it’s gone from $9 trillion to still over $6 trillion. It’s reduced by about 27-ish percent. I’m rounding here. That sounds like a good chunk. There we’re still well above pre-pandemic levels. That’s the point. 

What I want to say and I want Frank’s opinion on this. I think that this is a hint at the new normal for several things, or at least a couple of things. One the new normal is the Fed balance sheet and the current Fed and the new Fed coming in. Whoever Trump replaces Powell next year has the mindset, unlike any other Feds, in my opinion. Frank. We joked about how recession is a terrible word. You’re not allowed to have them. It’s not part of the business cycle anymore. They’re doing everything they can they being the Fed to withhold any pain. Okay, that mindset is only going to get more aggressive, which is scary. No-transcript, whatever fun expression you want to use. The point is you’re not going to get anywhere near $4 trillion again on this balance sheet. What I’m saying is this new normal is going to carry over to inflation. 

Frank, this 2% inflation we’ve talked about, it’s a stupid number pulled out of nowhere, and my point is is that the next Fed chair Powell has to protect his legacy. We’re all humans, including the guy talking to you. I have a bigger ego than just about anybody else. Fed chair Powell does as well. He is not going to rattle this cage. But the new Fed, if your new normal on the balance sheet is never going back to $4 trillion, then why in the hell wouldn’t you just say, hey, guess what? Our new inflation target three, three and a half. And then, as these crooked politicians both of them, this is not a Republican, democrat thing, this is everybody Look at the government shutdown. They do not give a flying Florida about us that they can clearly declare Frank. Hey, you know what? Inflation targets are now higher. Guess what? We’re good. We can just keep money printing forever. That’s why you got to own assets, people, because the race is on and the direction is higher. 

0:11:52 – Frank Curzio

Yeah, and quantitative tightening, guys. It reduces the need for the Treasury to borrow as much to replace the maturing debt that the Fed used to hold. It’s supposed to be good for Treasury prices and it should impact yields, where yields are supposed to go lower. But I’m curious to hear what he says more on QT. Again, it’s not a surprise. I’ve been talking about this, ending it, and those are the things that I will look out for. And just to see. I mean, the inflation target is now a joke. Right, we’re back up to 3% in the CPI. You’re not going to get to 2%. I don’t think we’ll ever see 2% in a very, very, very, very long time. We just won’t. I just don’t see it. 

0:12:24 – Daniel Creech

Hey, the Fed’s projecting it every two years. It keeps getting kicked out two years, but in two years it’s going to be down to 2%. That’s every Fed goal. 

0:12:31 – Frank Curzio

Yeah, I mean, 3% is insane. It’s a big difference between 2% and 3%. It doesn’t sound like a lot, but when you annualize it and you% it’s pretty crazy. But let’s see. Let’s see what the Fed says. 

This is the first meeting I can remember that people aren’t really talking about it as much. They’re just discussing so many things on CNBC today, which is rare. Usually this is the biggest story out there and it’s not, and that makes me a little worried that we could see something market moving from them when no one expects it. That’s just built into me being in the markets for 30 years when no one expects it, right, yeah, that’s just built into me being in the markets for 30 years, you know. Moving on to the largest companies in the world that are about to report, and you know again, this is Alphabet, meta, microsoft today, tonight after the close, and then Apple and Amazon. Quick question If you had to choose and you could say none, which one do you think has the best chance of going up 10 and which one has the best chance of going down and pushing lower on these earnings? Do you have one or the other? 

0:13:30 – Daniel Creech

yeah, if I had to guess, I’d pick amazon on the upside, just because it’s underperformed, its peers, uh, and then on the downside, I would assume, uh, google, just because we own that in cra, and that would make me look bad. That’s truth, people, that’s honestly I agree with you. 

0:13:45 – Frank Curzio

I mean I like alphabet, I can. 

Alphabet has had a nice, really nice run yeah, it’s a really nice run right, that is kind of all the time microsoft, off its highs alphabet, has had a nice run since last quarter. So, you know, people are expecting lots of things and ai impacts them the most, right in terms of and stuff like that. And we’re hearing people aren’t buying as much traffic anymore and seeing those results, which is is Alphabet’s, you know, and Google’s bread and butter. I agree with you Amazon has underperformed. This is a big quarter for them. They have to show growth because Microsoft is showing growth across cloud, you know, and taking market share and Amazon’s still a leader in there. But they have to show growth. They have to show it. You know, if they can go into 20% growth and stuff like that, it would be fantastic. I mean, they have the power to raise prices. 

With everything else going on AI, anthropic, big investor in there I’d be surprised if they come in. I think they just have to report something that’s a little bit of a beat and a positive outlook and that thing could really take off. We saw that with other stocks, especially Oracle. Right, holy cow. I mean Oracle, amd. These stocks go 10, 20% in a day. These massive stocks. I don’t think we’ll see that with any of these and I’m expecting good things for Apple. We’ll talk about that in a minute, but you know I want to break down, starting with NVIDIA, which is not reporting. Okay, but NVIDIA and you’re looking at the companies reporting. I throw NVIDIA in there because NVIDIA is really dropping the market higher. It’s now closing in on a $5 trillion valuation right, this is the highest valuation in the world, biggest stock in the world. This is after Justin Wong spoke at a GPU technology conference in Washington. 

0:15:12 – Daniel Creech

What were your thoughts on that? Because there was a lot that was said at that conference. Yeah, the cliff notes of that is they announced partnerships with. Here you go everybody, Frank. I mean literally. You got Department of Justice stuff. You have what’s the? Not penny stock, but Nokia, they invested there, palantir, just everything. 

What I thought was pretty cool is and this fits your Trump circle, Frank, so I got to give you a pat on the back here, not just because you’re my boss, but you know there is significance and a lot of this is just to kind of you know, for lack of a better term have fun here and give everybody something to yell about. Kiss the ring, Frank. They held this conference in DC, not California, not wherever else. Dc, and Trump couldn’t be there. But that just shows you to Frank’s point you’ve got to be on the right side of politics, or you should be on the right side of politics, and we’ve seen it during both administrations, either right or left and all that kind of stuff. 

I thought that was pretty significant. I just think the takeaway here, with the announcements and all this kind of stuff, I don’t understand how NVIDIA is still and I’m not a chip guru understanding that. Thank you to the network of people that send us in great information, Frank. What I took away from that is how does NVIDIA still not have a year or maybe even two year head start or lead against everybody else in the chip? I mean, they are still number one and king, and I guess that solidified it to me, basically. 

0:16:36 – Frank Curzio

Well, 10 years ago he decided to make a decision and partner with everyone and a lot of technology, especially Apple, right, and they just guarded. They’re like, ok, it’s us, or nothing else. I mean their biggest. I’m pretty sure still that their biggest acquisition was just 3 billion of. 

Beats, yeah, you know, for a company that has now pushing the $4 trillion mark Apple market cap and creating these partnerships and then getting into software as well and creating this moat around your business where, once we start building the infrastructure, it’s like you started building this beautiful house and it’s going to be, say, a building right and it’s going to be 40 floors and the first 10 are built right. So if you’re going to use somebody else, you got to just take a wrecking ball to it and then start from scratch when you already have that infrastructure in place. And now it’s always improving and saying, hey, here’s our next chip, here’s our next chip, here’s the next chip, here’s the next chip, plug it in, here you go. So you know people who are starting from scratch could use other chips amd, broadcom you have qualcomm up on news that they’re getting into. You know competing, competing chips, but they’re just you know, they’re light years ahead of everyone. And even amd, and even though amd stock has been on fire, you know we’ve been all over that one, which is great, uh, but you but other things that he announced and not just the partnerships with every industry leader across government, telecom, pharma, manufacturing, doe announced contracts, us government, samsung, hyundai and also $500 billion in orders, Daniel, and this is $500 billion in orders. When we hear backlogs, usually backlogs are five years. Boeing’s is freaking seven to 10 years, right. If you order a plane from Boeing now, you’re not going to get it for probably seven years, right? So they have this massive backlog. We’re not talking about 2030, 2035. We’re talking about next year 500 billion in orders, which is insane. 

So in the middle of this, what is he doing? He’s part of Trump’s circle. We keep pounding the table. I don’t care if you hate Trump, it’s about you, it’s about your money. You want to go on vacations, you want to retire? Follow the companies that are following Trump. It’s that easy. We keep seeing it over and over and over again. We saw it with a crappy company called Alcoa, which one of my friends said friends, don’t let friends buy Alco by tariffs, especially through Canada, and they’re able to get deals with Australia and the US government and rare earths and going through the plants that Alcoa has there and also in Japan. So being part of that circle is huge. 

Because he’s flying to China with Trump to talk about selling black oil chips with President Xi. This is off the table completely. Is that going to happen? I don’t know, probably not. That’s pretty scary if it does, because China, without NVIDIA’s help, is pretty close to us and that’s coming from the biggest names in our industry who are neck deep in AI. They also invested a billion dollars in Nokia Nokia, all right. So think about this. If you’re a company I want to put this in perspective If you’re a company and someone invested a billion dollars, you could be the greatest thing in the world. Greatest thing in the world. Okay, enough to push that stock up. 22%. It amounts to 0.02 of NVIDIA’s market cap. Oh, wow. 

It’s a rounding error. They don’t even know if it’s missing. And look what something like that does to Nokia. That’s how powerful NVIDIA is, where they can invest in almost across all the AI companies, across everywhere, and maybe, maybe that would take $500 billion in investments and it’s still just nothing compared to how big this company is. But if you look at major companies and say, okay, who’s initially? Boeing and planes, and Coke, soft drinks and Ford, gm cars? You have Lowe’s Home Depot housing retail. You know what NVIDIA is talking about right now AI, quantum computing, robotics, 6g, networking. I mean, this is the future of the world, right? That’s what they’re talking about, while everyone else is going to be using what they’re building to help their companies within these individual industries, which makes their total address on market every company in the world right. And that’s why you’re seeing companies like that surge, where we also saw Palantir hit a new high Should be a surprise. 

You guys should be in this really. What do we recommend? That? Or you actually put it on the books. We? We talked about it a lot. This is your show, Frank. It’s my show. It’s my show. I did it. 

0:20:40 – Daniel Creech

I did it. I won’t sell half around 600%-ish give or take or somewhere we sold half took profits. But yeah, it’s up over seven. Now it’s 197. It’s closing on 200. Yeah, it’s closing on 200. Yeah, 2408 is our cost basis for. 

0:20:53 – Frank Curzio

CRA. But you’re looking at Palantir and Jensen sat down with Alice Carpenter. That’s a great interview. If you guys could see, you could see probably everywhere YouTube, wherever, cnbc as well. But it says to build first of its kind integrated technology stack for operational AI, including, I’m quoting, analytics capabilities, reference workflows, automation features and customizable specialized AI agents Customizable and specialized AI agents that’s super AI agents and basically accelerate, optimize, complex enterprise and government systems. 

And you’re hearing Jensen Wong say Palantir is light years ahead of everyone and this is why we recommended it, because everyone was looking at price to sales. It’s all value. You’re crazy. The total addressable market is massive. Right, I talk about the mistake I made with Netflix such a long time ago. I didn’t understand Netflix total addressable market was a whole entire cable industry. It wasn’t getting a piece of it, it was a whole thing. And instead of using those comps against whoever, like other competitors with Netflix or cable companies, when you’re looking at the total address on the market, every cable company was competing with Netflix and now you’re looking at a company that fits into its valuation. That’s what you’re seeing with a lot of these names. I think it’s continuing to go higher. 

It’s amazing how many people still doubt this company, the more people that doubt it and it goes down. It’s like Tesla Whenever you hear everyone go on just doubting whatever, just buy it, because that’s when you’re hitting bottom, when everyone’s crapping on this company, which everyone was say it’s going to go lower and lower. Look, I’m not telling you fundamentals don’t matter. I I’m not telling you fundamentals don’t matter. I’m a fundamental analyst. I learned from my dad my whole entire life, right Before he passed away. True, fundamental analyst. 

It’s not that I’m telling you not to look at the fundamentals, but the fundamentals are not driving the stock. So stop paying attention to what’s not driving the stock. Look to what is driving the stock. What are the key? The KPIs. And this is constantly signing new business with the biggest companies in the world and transforming them in terms of them coming on stage and saying you know, palantir is the greatest company on earth, cause these guys have the systems in place to immediately come into the company on day one and change the landscape of it, improve productivity, and there’s not a lot of companies that could do that specifically other than Palantir. So you know, just a great interview If you get a chance to take a look at it. And again another partnership, and Justin Won had amazing things to say about that company. Nellis Karp. 

0:23:08 – Daniel Creech

Which is wild because you know after the run. I think Karp and I might get this confused, but Karp was talking about his own company and just said profits, revenue and profits are soaring in saying that. One more thing, Frank, on your Trump circle and such. Did you see the headlines and news out of Japan on the investment deal? So Trump signed in one of his many deals Japan’s going to invest 550-ish billion. We’re rounding here again, but I saw headlines today and just give you a Trump list of circle people on the pullbacks and such, and I get it it’s. Do not think of if, but when markets pull back for whatever reason and I know that sounds silly and lackadaisical, but bear with me here, Frank, this $550 billion US. Here’s a shopping list for the next pullback. Gev, ge turnover we’ve talked about that several times. That should be on your list. I missed that to put it in CRA, but I know a lot of you guys own it because we pounded the table on that at different times. Frank, kmi, kinder Morgan, natural gas transmission pipelines think that kind of stuff and then Carrier, who do supply thermal cooling systems for all kinds of different things. So you have GEV, kmi and CARR. That is going to get at least a portion of this $550 billion. 

Now things can change. I get that. These are headlines. Take those with a grain of salt. However, you’re talking about the Trump circle. You’ve nailed that. I think that’s been great. You want to look at who’s close to them? Here is a couple of stocks right there that are going to get a piece of this $550 billion investment from Japan. That’s not going to stop. We’re going to continue to see more of that. That will only expand. But there is some just easy low hanging fruit for the Trump circle stuff. No, absolutely. 

0:24:36 – Frank Curzio

We’ve been all over that. And Apple look at Apple, apple’s been on fire, right. I mean, if you look at this stock let me bring up a chart really quick I mean, if you look at the past few months, this stock could not get out of like the $200 range not long ago, right. I mean it was like is it going to break $200? Is it not? And we’re talking about from April to August, you know, such launched into September and usually in September it usually pulls back in September because it’s just like by the rumor is selling news, not that it’s rumors, but you see the iPhone come out. Now you’re seeing just demand for the iPhone very strong, through lots of channel checks and this is a stock. Again it’s 270. Now that was I remember it was a couple months ago. It was like all right, are we going to break 200 here? And now you know, when you look at it, it’s just on fire 270. Is that all-time high? 

0:25:25 – Daniel Creech

It’s got to be near it, right, it’s got to be near an all-time high. It is all-time high, yeah, all-time high. 

0:25:32 – Frank Curzio

And today Bank of America just put a $320 target on it crazy. I think it easily gets to those levels of 300, 320 by next year in the first six months of the year. I think this quarter is going to be amazing for them. They have incredible pricing power with their services division. They’re selling the crap out of that phone and it’s a good phone. I own it, even though I did have problems. What? 

0:25:53 – Daniel Creech

a badass. Yeah, way to take a victory lap, wouldn’t it? Last week you said how much you loved it. I loved it. 

0:25:58 – Frank Curzio

And so yesterday at 3 pm my phone died and I didn’t realize that I had to charge it and it died and the first time it actually fully died, two days ago. 

0:26:07 – Daniel Creech

Two days ago. 

0:26:08 – Frank Curzio

Yeah, fully died on me. So I’m using the cord to try to, you know, charge it up and it’s not working. I’m like, damn, the cord’s not working, right, why isn’t it working? Went home, tried a different power cord and it didn’t work and wouldn’t turn back on. So I had to go to the apple store with at&t. They’re like we don’t know anything, uh, we just sell the shit out of this thing. And I go to apple at 7 pm and they’re like, well, we can’t really do anything. It’s 7 30 and they just, you know they’re closing and I had to go to the next day. I go in the next day now. 

I doing everything for our conference. Millions of things are going on, so many details for our conference and rooms and people booking late, just all the stuff that you do with. You know we’re a small company. It’s our first conference right, we’re just learning which is going to be in Fort Lauderdale. I’m excited. From the 19th, 11th November we got a lot of great speakers, but the phone didn’t turn on. So all of a sudden, I go to the store the next day, the next morning, 11 am, and I hand it to them and the phone just turned on by itself and they’re like there’s nothing wrong with the phone. I’m like, are you kidding me? So you know it’s a good phone. I couldn’t believe that happened. I was really ticked off when it happened because, you know, use stuff for free, which is awesome. But Apple if you look at Apple, Daniel, and look at NVIDIA, because there’s a lot going around saying the breadth has never been this bad in the history of the market. 

What does that mean? It means that the breadth is the overall stocks across the S&P 500, or even you go even further, over. Whatever the 3,500 stocks, you’re hitting new highs and a lot of stocks are not participating in that which they should be. Why? Because you have the biggest companies in the world like Apple, nvidia, really taking off. Amd’s made some nice moves, I mean Oracle’s pulled back off those highs, but you’re seeing Apple basically two of the biggest companies in the world really driving the market higher right now. 

Now they’re going into earnings with very high expectations. I mean we’re’s going to be a very big deal. They might slow CapEx a little bit, I don’t know, because they’re spending a shitload of money more than almost anyone else outside of Amazon, but those high expectations guys going in it. I don’t want to say this because I thought the same thing about Oracle. We have that in our portfolio. We’re killing it. But sometimes you have those high expectations. You need to report blockbuster results in order to move that stock higher. Short term after earnings they report amazing earnings, but a lot of times you see a stock fall to 3%. It gives you a buying opportunity right. So let’s see how they report, because expectations have never been this high, with every one of those names outside of Amazon really, really close to their highs going into the quarters for today and tomorrow. 

0:28:40 – Daniel Creech

Another name Real quick on that, please. That’s a great point because on the breadth there was a great stat that about 80% of the stocks moved lower yesterday, except we’re at all-time highs. Here’s another fun stat, Frank and this is kudos to David Faber was on this morning on CNBC. Frank, the S&P this is before the market opened. I believe the S&P 500 market cap in general is around $56 trillion. Nvidia is at $5 trillion. Apple is damn near $5 trillion. Well, I guess that was with the price target. But the point is that’s how you get a new market indice high when you have a lot of the stocks going lower, because the one stock, nvidia, the king of AI, is 10% of the market by damn near. So if that goes up three, four, 5%, you are going to drag that higher and that’s impressive there. 

But yeah, Frank, I don’t think. And again, if the big tech companies today and tomorrow report lay an egg horrible, that would be a big shocker. But if you see pullbacks after this, they’re going to put up impressive numbers and if the stock goes down, you don’t have to run out and try to catch a falling knife. But that is your opportunity. As Frank says, you want to focus on the thesis as long as they don’t say CapEx is really slowing or hey, this whole energy thing was overblown and we don’t need all these data centers. That’s not happening anytime soon. Focus on the main thesis and then use the pullbacks, because they will come and it’s painful, I get it. Use those to your advantage. So I don’t want to beat a dead horse there. Frank, go ahead. 

0:30:04 – Frank Curzio

I didn’t think I was going to mention this company, but I had to. Today, one of the most boring companies you could think of is Caterpillar. Yeah, did you see what’s going on? 

0:30:12 – Daniel Creech

I saw it popped after earnings, I don’t know. 

0:30:22 – Frank Curzio

It’s a 13% record revenue. Record revenue. Record backlog surged to $40 billion. What happened to this company getting whacked because of tariffs? This is a good lesson you need to learn. You need to learn it because I’ve learned the hard way. When I’m trying to teach you, it’s not because I’m this genius that knows everything. It’s because I made a lot of mistakes. I lost money in the past. I do very well. Because you want to embrace those mistakes. Don’t get pissed off. You want to limit your risk, limit your losses. We have stop loss in all positions because you’re going to be wrong sometimes and you’re going to be wrong a lot of times on the things that you are most convinced about. And when companies have these risks and everyone’s talking about tariffs and it’s amazing what these companies do when they see the risks ahead of them and how they can adjust. And that’s why I like Alcoa now. That’s why you’re seeing Caterpillar. So you’re seeing a lot of these names. 

I mean, but Caterpillar’s chart, I mean this is a stock that’s pushing 600. It was 300 six months ago. I mean, if you haven’t followed Caterpillar, I follow a little bit just because we’re in the markets, but I’m not looking at it If you haven’t followed it. And I mentioned Caterpillar. It’s doing okay, all-time highs. You look at this chart right here. It’s insane. I mean it was 300 six months ago. It’s pushing 600. I mean, if you look at the comparison to the S&P over the last six months, I didn’t even know the S&P last six months up 25%. Did you know that, holy cow? 

0:31:32 – Daniel Creech

I knew we were up 20 on the year-to-date oh yeah, you got the usual. 

0:31:37 – Frank Curzio

But you know, the last six months and we’re looking at 93% gains, 93%. The Caterpillar, caterpillar are you kidding me? I mean, even Whirlpool reported good results. I mean, what’s going on here? These companies are not supposed to be doing good, it’s supposed to be only AI related and now you’ve seen it filter into a lot of these companies. But record backlogs, you backlog, that’s what you’re hearing, even Whirlpool, just amazing numbers. 

But when you see the risks ahead of you, it’s not too hard to adjust. It’s the risk that you can’t see that surprise you, that you’re like, and then you have to react. And it takes a long time to react after that, like we saw with Fiserv today, which is getting annihilated, bringing on new management, everything it got hammered I mean they missed earnings by a mile. When you see those risks in front of you, these companies have been around for 100 years. They know how to adjust, they know what to do. 

I talk to CEOs all the time. Even Keith Neumeyer is a great guy hopefully I’m going to get to see. I went to New Orleans, I’ve had him on a podcast numerous times and he again one of the biggest silver producers within all of his companies and he tells me he knows where silver prices are going to be, what he has to do, how much he has to lay off when he has to cut costs. They know all of this based on what’s going on with the price of silver because of the mistakes, just like the dot-com. How many companies almost went under is the reason why these companies have the greatest balance sheets ever, because they didn’t. Their dot-com, and almost every one of them that you see today, almost disappeared. They almost disappeared Right, so now they’re ready for that, which is amazing. I want to mention Caterpillar. 

0:32:58 – Daniel Creech

We’ll continue. But same thing happened in oil. They found financial religion Instead of boom and bust and everybody doing it. You know what. You start having a more fortress balance sheet. You understand business cycles. You can do it. They’re unlike they were in the past, not to get you off the grid. Oil companies are a good example. 

0:33:15 – Frank Curzio

Oil companies were 100. Oil was 100 and it bit high. Whatever, it’s around 60. Usually, when you see that kind of boom bust, which is massive with prices, you see oil companies like crazy go out of business. Now they’re still paying dividends. The balance sheets are flush with cash. Their stock price is still down. I think it’s an incredible opportunity. You’re not going to see Caterpillar, a lot of construction companies. All the international markets are on fire right now. We just saw great numbers out of China. Right, it’s got to impact oil sooner or later. Right, it’s got to follow up on oil. So I think there’s a lot of names in the oil space and not mention also mention natural gas with AI and things like that. It’s just there’s a lot of great opportunities there. 

Big, big big story was Amazon. There’s rumors out that saying that they’re you know, with delay offs, that it’s 30,000. So there’s rumors out that’s saying that they’re you know, with the layoffs, that it’s 30,000. Now what did Amazon say? It’s like less than that 14,000. And people report it’s going to be 30,000. There was a report like I think it was Roy’s. A lot of companies reported the 30,000 number. 

0:34:10 – Daniel Creech

Royder’s was out with it. 

0:34:12 – Frank Curzio

It’s not going to be that much. You don’t say 30,000 unless you have thousand. So they probably are right eventually, but they probably just you know you gotta remember who we’re talking about. 

Frank the media be careful yeah, but that’s that, that when you’re talking about a specific company like that announcing exactly the amount of layoffs, uh, you’re opening up to lawsuits if you’re wrong in that. So you gotta really. I mean that’s, that’s a source, I think 30 000, whatever it is. But if you know, we’re hearing this across social media platforms. So what I’m seeing and everyone that I follow and also in media outlets of oh my God, you see how many jobs these layoffs are coming. It should not surprise you at all if you listen to this podcast and I’m not saying that being arrogant, I’m just saying that you know we’ve been posting over a year about the massive layoffs coming right With the markets at all-time highs, almost every asset class at all-time highs something you never see. We’ve been talking about this for a year and you’re looking at AI having an impact. A lot of companies don’t want to mention it. People say, well, it’s not really AI, these companies, it’s the economy and they’re shrinking. Guys, it’s not the economy. I mean, you’re not going to see. If it’s really economy, you’re going to see a massive pullback in spending. You’re not going to see an increase in spending which you’re going to see from the five major companies when they report in the next two days. These stocks are at all-time highs. They’re seeing massive demand for their products and services as they invest in their AI through cloud and everything else. So you can’t say well, it’s the economy why they’re getting. It’s AI being able to take the place of millions of employees right now, and it’s not just Amazon. 

Ups listen to the layoffs 48,000 employees. Ups right Automation. A lot of supply chain management right Makes sense. You can put robotics in there and AI keep billies all over that stuff. Intel 24,000 employees. Have you seen Intel stock? It’s the highest level since when. 

0:35:55 – Daniel Creech

Trump took a stake, oh, in a 15,. 

0:35:57 – Frank Curzio

Whatever it was, I mean, it’s been the worst stock in the world and now you’re seeing it like one of the best performers, right? And now you’re laying off these employees. You should be laying off this many employees for the last three, four years when your company was horrible. In total, you got into the Trump circle Nestle 16,000 employees. Accenture 11,000 employees. Ford 11,000 employees. Nova Nordisk 9,000 employees. Microsoft 7,000 employees. Paramount 2,000. Target Kroger, applied materials around 1,000 to 2,000, even Medellin off 500 employees. 

When I see this, we’re going to have to find new ways not to track unemployment but to interpret the unemployment rates, because I see a world where the productivity of existing employees is going to skyrocket as they implement AI into their daily workloads. Right, they’re going to be taking the place of three or four employees and you’re looking at this productivity surging. And we could live in a world where we see 7% unemployment, which is usually recessionary, and it’s not going to be recessionary this time because we’re going to have a healthy economy, because productivity is going to go to the roof. And I know when I say that 7%, Frank, there’s no way they cut it. I know that sounds crazy, damn. You have to pay attention, please, in the next two days. Pay attention to the sales, profits, margins and overall growth of the hyperscalers as these big six companies report today and tomorrow. Pay attention to them because they’re going to report these blowout numbers that are going to tell you the economy’s not doing that bad. The spending is resulting in return on investment, which everyone’s worried about. How are you going to? 

They put up OpenAI and all these partnerships with 30 companies and people are ripping on them and saying this is terrible. This is a big scheme. It’s not a scheme. They’re all partnered together. They all want to be partnered together because OpenAI benefits the more people that use this technology. That’s why they’re signing all these deals with everyone. You look at pwc, which is price waterhouse coopers. In 2021, they pledged to hire a hundred thousand new employees by 2026. Well, when they fast forward to 2025, they said oh, we’re wrong. They cut 5600 employees. Okay, and what I love about pwc is at least they’re not hiding the reason. 

Like the big technology, they can’t say well ai is replacing jobs, and we’re on fire we’re doing great. No, you never want to say these are publicly traded companies are the worst thing to say. You don’t want to say, as you’re placing these jobs, you’re saying, well the economy, like JP Morgan does. 

0:38:06 – Daniel Creech

Look at JP Morgan. 

0:38:07 – Frank Curzio

Yeah, jamie Dimon is awesome. By the way, he’s the biggest Bitcoin bull in the world now. Right, bankster, best bankster in the world and provides a good example here. So JPMorgan Chase has a. The stock is now 300, right, All-time highs, basically. And you look at, let’s see, if we look at the chart from 2023, let’s go right here 2023, this stock was basically at a hundred bucks and it’s 300 today. Okay, I could tell you since 2023, when I have this chart up here, it’s 2023, right, so it’s at a hundred and it’s at $300 now. This chart up here it’s 2023, right, so it’s at 100 and it’s at $300 now. Every single quarter that they reported. Jamie Dimon said the economy is not doing that good. I’m worried about the economy. Our earnings could come down. 

You could see interest fees come down Every single quarter. He’s said that and watch his market cap go from what Pretty much 250 billion to 800 billion around pushing the trillion dollar mark here as a bank and this bank is much larger than that it’s JP Morgan. It used to be the four largest banks. It’s JP Morgan here, all the way up here, and then you have the three next Wells Fargo, citi Bank of America and Citi Group by the way, I love the most because it’s part of Trump’s circle and Trump hates the rest of the banks. So when I look at JP Morgan and seeing that and hearing every single, every quarter, you know the economy’s not doing that good. We’re seeing separation between the low end and the high end. It’s not that good and constantly like warning and being cautious as the stock absolutely freaking surges. And that’s what we’re seeing. 

0:39:35 – Daniel Creech

So you know Quickly, on Jamie Dimon, the best bankster Economy’s so bad Frank, they just opened their $4 billion new headquarters in New York. Billion dollars, Did you see that Did? 

0:39:44 – Frank Curzio

you see any of those pictures. 

0:39:45 – Daniel Creech

It looks nice. I’m not an architect, I don’t have an eye for architect and stuff I’m shocked about how some of these Remember when billion dollars was a lot of money. 

0:39:51 – Frank Curzio

Remember that. 

0:39:51 – Daniel Creech

Well, on this side of the table, Frank, it’s still a lot of money Is it $350 billion that Ellison is worth. I mean we ought to go there, we ought to go see Mr Diamond at the new headquarters. 

0:40:03 – Frank Curzio

Yeah, I know right, yeah, he’ll definitely see us. 

0:40:05 – Daniel Creech

Anyway, yeah, excuse me, is Jamie in? Yeah, yeah, we’ll see. 

0:40:09 – Frank Curzio

But getting back to Pricewaterhouse, they’re cutting entry-level hiring by 33% and I like the fact they’re not hiding the reason why they jobs anymore. That’s a lot of the consulting companies where AI could do their job for them. They’re consulting and they provide, like McKinsey, they report in Big Four. They’re consultants providing these statistics and reports for every single industry to go into companies and do all this prediction. A lot of it’s prediction analysis where you want this company to be what you have to cut, what you have to do. And AI, I mean holy cow, you want to talk about something that solves a problem a hundred times faster than anyone could do it manually. I mean, there it is, although, did you see the Take-Two interview with the CEO? No, I didn’t Of Take-Two when he talked about AI and he brought up a good point because he said how’s AI going to affect the next version of the take two, which is grand theft auto? 

Six, right and five is like 13 years old, generated more money than ever. They start generating fortune off of it. Uh, and now it’s going to come out, probably within the next 12 to 24 months and really within the next 20, 12 24 months. Usually it comes out like three years after they say, hey, we’re almost there and they’ll ask about ai. And he said that with developers of rockstar games who makes that game? That ai cannot take the place of innovation because it’s using yes, it has predictability analysis, but when you’re doing everything else from there’s no innovation to the point where you need these people hands-on to actually be able to innovate, to where the game is going, before you’re getting into AI and saying AI is not going to create the innovation in games that you expect. It’s more going to be coming from these developers. 

0:41:39 – Daniel Creech

Which I found interesting Was that like period or right now, until AI gets to that level. No, he was saying Not putting words in his mouth, but yeah, okay. 

0:41:46 – Frank Curzio

Is the new granddad thought are going to be better because of AI? He said absolutely not Okay gotcha so you know, could it help Absolutely. 

But just it was a different take on it, showing like we have to innovate, it has to have people the box, where AI is not going to really think too much outside the box. It’s taking a lot of the analysts already there that’s in existence and then predicting when a lot of disruption. Ellison said this he’s like if you’re going to disrupt markets, it’s going to be something that no one’s predicted. You can’t be doing something everyone else is going to do and you’re going to get a lot of shit about it when you talk about it, because people are going to be like you’re absolutely crazy. But that that’s how you disrupt markets, right, you’re doing something that’s totally not being able to be researched, that no one ever did before and there’s no examples of it. 

And you know, I understood that, whether you believe it and that’s your opinion or not, I just thought it was a different take on AI. It’s someone that could filter AI within his company, but he just showed, like you know, you still need the innovation to come from people, which is important. Pwc, good job for actually being honest when nobody else really is. Oh, we’ve seen a slowdown. Really you’re seeing slowdowns, because I don’t think you’re seeing slowdowns, not from those companies. You’re not seeing slows other than ups and maybe a few others. But that’s not why you’ve seen these big layoffs, but getting to the ai, boom, bloom energy. 

0:42:52 – Daniel Creech

You see, bloom energy today yep, that’s a good call there, mr. It’s up was up 20 last time I saw. I don’t know what it’s up right now. 

0:42:59 – Frank Curzio

Let’s see so Bloom Energy. 

0:43:04 – Daniel Creech

Well, it’s got to be up a lot, because it’s up 23%, yeah, exactly. 

0:43:08 – Frank Curzio

It’s up 23%. So if you look at this chart and I’ll get to the details in a second I just want to see the comparison with the S&P 500. This stock is up 1,200% over the past year and the market’s up 19%. 1,200% Holy cow, 1,200% last year, yeah. 

So when you look at Bloom Energy this is a company that we’ve had in our portfolio they reported strong revenue 519 million in sales. Remember that number. Just a lot of money in sales, right, and almost 100 million more than the estimates and earnings. They came out earnings of 15 cents a share, 5 cents better than expected. So sales are growing 57%. The company is reporting earnings profits and it’s significant for this company if you’re not familiar with it, because we recommended it they provide onsite electricity generation using fuel cell technology. Sounds futuristic. The fact that the company is seeing massive sales growth and is actually profitable puts them in a much different class than this company gets lumped in, which is Oklo and other SMR companies, where this technology to power data centers is still two, three years out At least two, three years out for being scalable. 

And someone emailed me who’s great. I have great contacts in this and, Frank, SMR technology is currently available. We have it in submarines, stuff like that. But just scaling for data centers is different. It is different and you’re right, I should make that more clear. It’s here and you have it because there’s only three of these portable systems that have ever been in existence and I think there’s two in Russia, one in China, right, but we’re not talking about you know how it works with submarines and stuff like that. It’s how do we scale, which is still a question mark. But now you have Bloom Energy. This is scaling right now and it’s the reason why I recommended this company is because this on-site electricity generation is massive. All the data centers that are being put up right now from here from my contacts, they’re all requiring not to be by the grid. If they’re not by the grid, but they’re getting their. The construction is also including power generation, where they used to form out power generation and grid. Now you need this portable stuff, and now we talk about solar, where solar is up huge. We have companies that are up huge within solar, because power is the biggest theme within AI by far, and we recommend that. 

Bloom at $21.50. It’s now $133, $135. 10 days ago, I told my AI investors because I thought I was very, very smart. I said you know what they’re coming into earnings. They’re coming in hot. Let’s sell half, which I’m okay with. Okay, we’re up. We’re up over 400 on the name. Uh, now up, even you know we’re up 400 now I think we’re up a lot more of it. But uh, I don’t know if that makes me an idiot or not, but listen, we still own it and I thought it was smart. Intake profits just 100 when you know you can always take profits at 100%, Not in this market. 

Why is that good? Because you basically lower your rest to zero minus the taxes and stuff like that. Because if you buy a stock at 10 and it goes to 20, you’re taking your money off the table. So even if it goes to zero, you’re still going to break even. So they say you should sell half. 

I didn’t, because we saw the opportunity and we knew it was just the beginning. And now this stock’s taken another leg up. But we sold it not too far from these levels. We sold it like 10 days ago. So half a position. We sold only the other half, which I love. But today what I like even better, Daniel, is Kramer talked about it positively. Oh boy, $130 a share. I love that. Hsbc sell side firm upgraded today. They upgraded today at $130. We told our subscribers to buy at 2150 in AI. So you know, when I’m looking at names like that with Bloom and just the AI trend, it’s, you know it’s fantastic and I love it. I just love to see my subscribers making a lot of money on it, because we’ve done a lot of homework, done a lot of research on a lot of these names and, you know, did really well with that one. 

0:46:34 – Daniel Creech

Yeah, good call, that is a good one. 

0:46:37 – Frank Curzio

I mean, listen, we’ve had our share of losers and we always say when we have our losers and we make sure we limit our losses and we have stops on our losers. But Celestica is another company that nobody talks about. I mean, it’s another AI pick, it’s a pick and shovel play right, and it’s in our newsletter. They just reported blockbuster earnings again. Another one. I’m like, ah, we’re up tremendously on it, let’s see what happens. It’s a one-stop shop for data centers. So they’re building these racks that include everything cooling, connectivity, optimizing power and apparently they’re basically the best. 

The reason why I got this company in the newsletter is because of the great context that I have when someone said you should’s up 270% this year. That’s great. Well, our subscribers are up over 600% on it because we recommended it at 47, and it’s now trading at $340. I said it before. I’m going to say it again the best decision I ever made since starting Curzio Research was launching our Curzio AI newsletter, and not just for our company, for our subscribers, because that’s what it’s about. Right, at the end of the day, you’re going to subscribe to our products and services. If we’re shitty at it, then you’re going to cancel your subscriptions, and we really pushed that newsletter hard because of the demand that we saw in AI, because we really understood it. 

I was not an AI believer early on over two years ago and then really had great contacts, I said, wow, I missed the whole entire thing. I was like, hey, now I understand what’s going on and just having great contacts in this industry and being able to share that through my portfolio and having some of these picks I mean being up one stock 400%, the next stock 600%. I think we’re down on one name. You know, DGXX is on fire too and I mentioned that when a lot of you own it as well. Uh, and that just absolutely serves you recommending that at. 

You know pretty much talking about it near a dollar. You know, and our newsletter was a little bit high that we recommend a dollar fifty around. Uh, and that stock, you know, push well past four, well past five. Uh, just a lot of good names, a lot of good information. And you know listen, I’m not saying it to pat myself on the back with these winners I’m really just happy for our subscribers that they make this much money because now they could go out, they could do different things, they can go on vacations. Maybe it helps me at college tuition, and that’s what I do this for. I really don’t have to do this. I could retire if I wanted. I’ve done very well in the markets over the years and that’s the biggest thing for me is getting those emails and seeing people doing well. 

0:49:07 – Daniel Creech

That’s the ultimate high for me and you know I love that so really great with those two stocks within AI. And yeah, it’s just, you know, I don’t know why people keep saying this is getting ahead of itself and all that kind of stuff. Quickly on Celestica CLS is the ticker there, Frank, that is a Florida beautiful chart. That is not a crazy gap up chart I don’t know if you have it shown up here, but it is a. Obviously it pulled down with everything else in April with the tariff tantrum and the self-inflicted wounds Since then. It is just bottom left to the upper right, but there’s no huge gap ups that are outlandish and in fact if it goes over that 345 mark it’s going to clear a new high and then that thing could just kind of if it goes parabolic, that’s when you want to get a little bit more nervous. But yeah, it’s in the zone there. 

And quickly on the AI bubble Frank, we’ve touched on this with a lot of smart investors pointing out a lot of great data and stuff. But do not try to be the first one to call the AA a bubble. And Ray Ray, Dalio Frank, good old Ray Ray, largest hedge fund manager, he sold out of Bridgewater all that. Tip my hat to him, if I had one on. He made a great comment about how bubbles do not burst unless you have a tightness of monetary policy. And, as we’ve said, that is nowhere near in our playbook right now. And it’s not our playbook, Frank and Daniel, it is Fed’s chair and then also President Trump’s playbook, not saying you’re not going to have pullbacks and all that kind of crap. Don’t hear what I’m not saying. I’m simply saying if we say something, people resonate. Frank, in our world, when billionaires say the same thing, you pay attention. Okay, that is a great line. 

0:50:31 – Frank Curzio

Bubbles do not pop without tightness of monetary policy and it’s more powerful coming from a guy that is kind of negative on where the markets are heading. 

0:50:39 – Daniel Creech

Yeah. 

0:50:39 – Frank Curzio

Kind of negative on where the US is heading and talking about, like the history of the world Now empires, you know, every 80 years, like just you know, going back to Roman empires and stuff and history Follow him. It really is incredible. Whether you agree with him or not, I follow so many people that I don’t really agree with too much. I like hearing a different opinion. I’m always open to that because they may be right and if they’re right, it’s going to help me tremendously, which is going to help you tremendously. So, having this stubbornness I see that among gold investors, I see it among Bitcoin investors, I see it among many people in so many industries don’t have an ego. If someone has a different opinion, try to find out why. Why are they so different? Why do you believe this? And for me, when I heard, like, the reason why I love Palantir so much is because everybody was arguing about the valuation and this stock doesn’t trade a valuation. This Tesla trade about valuation. It trades on the future. It trades on this futuristic technology of being involved in the right places and then being industry leaders in the future of those technologies, which means that it opens up their total interest rate market to 10 times more or 10 times higher than what all the analysts come out with and are predicting right. So the status quo is like Palantir is too expensive, Tesla is too expensive, those things are going to blow up. And look at those stocks, look where they are right. So, for me, not only I listen to them where I say maybe they’ll convince me or maybe I’m missing something, but I sometimes that’s the status quo and I want to hear, like the negative of my thesis why do you hate Palantir? And that does not hold water when you say I don’t like Palantir because of valuation, because you, you know I’m not being me when I say this, but it’s idiotic to really keep saying the same exact thing of why a stock is going to go down when it’s literally up a thousand percent. Okay, and it’s not up a thousand percent because you have this, oh, this massive momentum. It’s not. I mean, look at their numbers, look at the massive growth that they’re seeing, which, and that’s why you have to take a look at ai and you have to take a look at these numbers. Look, we’re not. 

Yeah, Daniel and I are just sitting here saying, wow, it’s great, we’re awesome, this it forever. No, don’t own it forever, own it now. There’s no signs of slowing down. We’ll see it. Maybe we hear it in the next few days when these guys report. The biggest companies will report. Maybe they’re going to cut spending and saying, hey, you know what, we’re going to cancel a few projects. And we’ll hear it to our sources Once like, ah, these guys don’t know shit, they don’t know what they’re talking about. You just you know. 

Pull back those emotions. Check your ego at the door. This is investing. You want to make the most money possible and yet in order to do that, you have to listen to everybody and be able to change your mind when the facts change. Please, I cannot push that enough on you. When the facts change, change, don’t be an idiot and be like oh well, it’s still good, you know Meta’s canceling all these projects. It’s still good, they didn’t say that. But if they say that it changes the landscape of these valuations, they are going to come down. 

But as long as you’re seeing Google restarting nuclear plants, nvidia, over 500 billion orders through 2026. We’re not talking about 2030, right, this is now. This is a massive demand. They keep seeing open ai announcing over a trillion in deals every day. It goes by and part is another major deal partnerships with the US government, softbank, paypal, paypal you look at amd right, I mean just nokia today. You know it’s just. It’s incredible when you see the amount of deals that are being launched around ai and they continue. 

It’s not a sign of a bubble. It means that you still don’t have the supply there. You’re seeing so much demand and there’s not enough supply and until that changes, when you see supply increase dramatically, when demand’s not enough to take up that supply, that’s when the bubble really is close to popping. And someone’s been doing this for a very long time. So AI, that trend’s still very much intact and I’m glad we’re participating in so many areas, which is really cool. 

It’s a lot of fun right now. It’s fun when you’re seeing your stocks go up, when you’re really working your ass off and you’re seeing the benefits where business is good. You’re seeing, you know, solid newsletter subscriptions, marketing contracts, working with companies and stuff like that. It’s nice when you work hard and you see the benefits, because sometimes you’re working hard and you don’t see the benefits and things are bad. It’s the worst. Everyone has been in there that owns a business before. But now, when you’re working hard things are good. It makes you feel a lot better optimistic, and I don’t see that selling anytime soon. I really don’t. 

0:54:38 – Daniel Creech

No, I mean, it’s one of those. Hey, this too shall pass, but we’re in season right now and enjoy it, don’t be. You know, we’re not telling you to use leverage and all kinds of crazy margin and do that, Just participate in this. But, as Frank said, I like that. Do not just think you can fold this away and hold it forever. I mean, there’s going to be booms and busts, winners and losers, that’s okay. But right now, that thesis is well intact and you should be making money and remember the million pound elephant in the room is the government. 

0:55:09 – Frank Curzio

Okay, and the fact the Fed is going to lower rates, but that’s fine. And the fact that the Fed is going to lower rates but that’s fine, we all know that. But every time there’s a problem, the government’s going to bail us out, because every time they bail us out, they made a ton of money on it. So, if you worry about banks and someone failing, and people talk about Wells Fargo or all these loans and the bonds that they issued, where they’re all underwater Again, it’s not if you hold the maturity, but it’s amazing to me when you see the dynamics and people forget that, where you could be dead right on your thesis, which happened during the credit crisis, yeah, and what did the government do? 

Okay, the whole world should have ended. And what do they do? They funded the banks. Okay, they’ve spent. They bailed out everybody. And look at where all those companies are today. I hated the fact that they did that. I hated it. But the fact that the government is there and we have, for the first time ever, a president that his number one KPI is the stock market it’s a stock market, it’s how the stock market does. That’s his KPI, so he’s focusing on it. 

Key performance indicator for you following along 50-20% pullback in the markets. You’re going to see him announce he’s going to go crazy, he’ll fire whoever is in the Fed and try to fire him and say, okay, we’ll lower rates by two percentage points. I mean that’s what he is going to do. He’s going to use the government. He’s going to be printing money like crazy. That’s what they’re going to do. I’m not saying you should be happy about it. What I’m saying is it puts a floor under the market and it prevents the ultimate disaster that so many people make money selling newsletters that are predicting Okay, dollar is going to lose its reserve currency status, the US is going to go broke. I mean the stuff that these predictions have been going on for 20 years, guys, 30 years since I started in this business. That removes that big overhang, not saying we can’t pull back 15%, 20%. It might be healthy. If we get a 10% 15% pullback, it’ll be a lot of buying opportunities. The Fed’s lowering rates. You’re seeing deregulation among the banks, which means they’re going to be able to push out more money into the economy. It’s US first. Every country in the world wants to deal with the US with this president. 

There’s just so many positives right now going on with the markets that yes, we’re expensive valuations but we’re seeing. We’re seeing across the board. You’ll see some areas not growing that much. But when you really look at the earnings, look at the earnings that these big six companies are going to put up before you decide to dismiss. AI’s in a bubble or the economy is messed up or you know we’re in a lot of trouble. Wait till you see the numbers that these guys report and go to every single division with Dale and I do. We’ll report a lot of that tomorrow in Wall Street, unplugged Premium. 

But man, right now, just enjoy it. It’s going higher Again. I took profits in Bloom Energy just a little bit. Sold half. We’re being smart here. It doesn’t mean they can’t go higher, but take your profits a little bit. But you don’t see signs of this slowing down anytime soon. You really don’t. We’ve said that for well over two years now and we continue to say they’re going to go higher to the end of the year and go higher into 2026. So you guys should be positioned well to write newsletters and I’m glad a lot of you make money. It means a lot. 

0:57:57 – Daniel Creech

Yeah, we’ll recap the Fed comments. Those are key to take away some earnings, and also we’ve got to talk Bitcoin tomorrow. 

0:58:02 – Frank Curzio

That’ll be fun, yeah it’ll be a good thing. So Wall Street Unplugged Premium guys. It’s a individual ideas, lots of individual ideas. So not only are we talking about the economy and things like that, we’re talking about individual stocks that we actually like. We recommend stocks that go into a dollar stock club portfolio and you can subscribe to that by going to curzioresearch.com. So questions and comments from here for you, curzio One. Members can’t wait to see you two weeks away Getting a little nervous. 

It’s going to be a good format. I’m going to be interviewing every single person on stage. Okay, so it’s not going to be people just going up there and presenting Every one of those companies are going to be private companies that we invested in or stocks that are at levels that provide great opportunities for you, and the CEOs of the companies are going to be talking about those. So a lot of investable ideas that are going to be there. It’s going to be a lot of fun. Got a lot of people coming, a lot of entertainment Should be really, really cool. And thank you so much, because that’s not possible without the help of you guys and everyone listening and subscribers and stuff like that. So that’s the 9th to 11th Pier 66 Hotel, Fort Lauderdale, Monday’s the main day that we’re going to be doing all the presentations. It should be a lot of fun, so hopefully I’ll see a lot of you there. And with that said, that’s it, Daniel. Anything, anything you want to add. 

0:59:11 – Daniel Creech

Daniel says no, no Negative, no you have to talk it for an hour. 

0:59:13 – Frank Curzio

No, we have no more. We gave it all. I have nothing to add Frank, All right. Questions, comments. Feel free to email me at Frank@curzioresearch.com. Daniel. 

0:59:20 – Daniel Creech

Daniel@curzioresearch.com. 

0:59:21 – Frank Curzio

All right, guys. We’ll see you tomorrow on Wall Street Unplugged Premium. 

0:59:26 – Daniel Creech

Take care. 

0:59:28 – Announcer

Wall Street Unplugged is produced by Curzio Research, one of the most respected financial media companies in the industry. The information presented on Wall Street Unplugged is the opinion of its host and guests. You should not base your investment decisions solely on this broadcast. Remember, it’s your money, and your responsibility.