As if 2020 wasn’t bad enough, now there are murder hornets. Yes, they’re a thing! Listen to my video for my take on where the markets are going next.
Steve Ankerstar: (00:01)
Hello, everyone Steve Ankerstar here and thank you so much for listening in. Tonight we’re going to talk about two things. Murder, Hornets. Yes, that’s the thing. If you haven’t heard and the new abnormal, you hear the new normal, I think the new abnormal might be a little better way to describe what we have going on. But before we do, there’s my information and there’s my disclaimer. If you’re not a current client, afterburner financial, then you have to treat everything that you hear in this presentation as financial education and do your own due diligence before acting on your own portfolio. So with that, let’s go ahead and get started with where we are in the market. Okay, here’s a, the view I like to give you, it’s a 10 day view. The from left to right, the white spaces are the current trades, the great out spaces or the aftermarket.
Steve Ankerstar: (00:51)
So they’re going to kind of see over the past 10 days we kind of spiked up. We’ve come in and some, we’ve had a couple updates today turned out to be a down day, or at least if you look across the bottom, it says down day for everything except for the NASDAQ, which again, tech, you know, when you think of the new future or the new abnormal, a lot of tech names have run pretty hot and I think they have a lot of runway. That’s why you haven’t seen a lot of movement and your portfolios are pretty tech centric and text wrong. And we’re not doing a whole lot of selling there because that is my prediction and many others of the future. So just something to consider there, but a little bit of a selling it throughout the day on the other two. The big red, not today’s big red move down, but yesterday’s big red move down.
Steve Ankerstar: (01:37)
It was an article that came out, it was the first study that talked about a potential mutation of the Corona virus. So that would be obviously bad. And then I think everybody processed that study that maybe that wasn’t the most cornerstone study to be had out there. But it live, you know, Hey as you’ve seen from the news lately, everybody can report anything. Right? I think my favorite, somebody threw up on Facebook screenshots of both Fox news and CNN reporting. The beaches were overcrowded and it was the same picture. One was reporting like Florida and the other one was California. Like, awesome. You probably, if you know me at all, know my take on the mainstream media news, hard to put any really amount of integrity into any of those. I mean, it’s, it’s largely sensationalism from both sides.
Steve Ankerstar: (02:30)
So, Oh, that’s why you know that I stick with CNBC and I surf voraciously online for material from sources that I think are legitimate. So that’s where I get my information. But when you look at it, if you look at the bottom banner and off to the right, something we’ve talked about, it’s been a few, it’s actually been two weeks since my last video. So it kind of tells you how things have died down or at least in my mind, you may still think this is pretty exciting, but from where it was for sure it has died down and that’s the VIX, which a measure of the volatility. Technically it’s a ratio of options not going to get into the advanced math cause that’s a podcast and its own. But Hey we’re down just North of 30. I think once we get below 30, that’s when you can call the new normal in the market.
Steve Ankerstar: (03:15)
So we’re kind of getting their volumes, you know, spike in towards the end of the day. That happens every day. So heavy volume in the morning kind of bathtubs are off the day and it picks up in the last hour of training as some new news come out and people position for earnings cause we’re in the middle of earning season two. If you paid attention to that at all, the earnings actually have been pretty amazing considering. Okay. All the bad news, not all the bad news, but you know, bad news was baked in. As we go to our next slide, you know, there, there’s your big move down. I have a percentage [inaudible] percentage wise on the next slide. You know, we had the been moved down then a fairly healthy bounce out of that. And now that we’re having earnings, now we’re really getting what I would call the accurate digestion.
Steve Ankerstar: (03:59)
I think the market as a whole, not speaking for it, but speaking to it you know, computers and people panicking, that almost always leads to an overreaction. So that’s where you kind of saw the downside and then it was the, yeah, that was too much. So you see kind of the move back up. Well now we’re starting to get, she’ll get information. We’re starting to get on not only earnings from quarter one, which again was only effective right there towards the end predominantly. But you are now hearing companies forecasting out for the next quarter. Some have withdrawn their guidance. If you hear that term, that means they’re just choosing not to provide future guidance, but for the most companies will provide up to a year of future guidance of where they think their companies going to be. So those that do are being rewarded as far as their stock price.
Steve Ankerstar: (04:44)
So those that are withdrawing are kind of being penalized because people assume the worst if you’re not even willing to take a guess at it. So that’s kind of where we are. I think this one’s more informative as far as when you look at, you know, it’s being called the comeback people are gonna argue till the end of time, whether this is a V or an L or you are going to be a w and you can have that argument, I don’t care. I, you know, there’s that big 34% down from the peak. That’s kind of, when you think of that, that’s over a third of the net worth of everything went away to a virus. So there you have it. I think maybe if you projected the virus to be significant for a decade, maybe a, I mean obviously cut everything in the world by the third, not in the world of us, but cut, cut everything in the U S markets by a third for a virus that, you know, we don’t know the end of the story, but certainly there are good news stories out too as far as testing treatments and then potential vaccinations.
Steve Ankerstar: (05:55)
So we’ll see how it all works out. But that was an unbelievable, we’ll move down and if you heard me talk to it towards the bottom there, I did have the lock and load slide of when I started buying for those that were aggressive and that has paid off handsomely. They’re still the, I call it the dystopian crowd that literally will not give up on the, the fact that we are going to find new lows in this market. They, they won’t, they won’t give up. That’s their thing. It’s kinda like the guy on CNBC that says today’s a good day to buy gold. Well that guy said that for, for the past 35 years I’ve been watching CNBC is that today’s a good day to buy gold because he sells gold. So if you’re a doom and gloom, if you wrote a book on doom and gloom, you can’t even say anything rational anymore.
Steve Ankerstar: (06:43)
You just always have to say it’s going to be dooming them. And unfortunately those people get on TV a lot. So as you’re processing all the information’s out there, all the information that is out there, just think about it. I mean the bond King genlock easy just won’t shut up. I mean he literally won’t give it up that we are, I mean it’s over in his mind over, it’s like, okay you know, yes team, human race is going to lose and team America is never going to be as strong as it was. And I dunno, I can’t tell you it’s wrong because I haven’t seen the end of the movie, but I can say that none of the factors that I follow are pointing in the direction of it’s over. So anyhow, and he’s a bond guy believe that. Haha. So he wants equities to fail anyhow.
Steve Ankerstar: (07:30)
He’s entitled to his opinion and he has the expertise and background to get on TV a lot. So anyhow, here’s where we close, may six. So you kind of, you step out and you look at that from where we went in. It’s like, Oh well we’re not that much below where we were in October of 19, which is, you know, seven, eight months ago. Some people think they’ve lost fortunes. Yeah, you’re right. If, if you track this and that many have done better. But I will tell you in a more tech heavy, you are the closer you are being back to even or even above what yeah. If you just track the innocence indices, excuse me. You’re where you were eight months ago. So, you know, life is not over the, the doom and gloom, the dystopian outlook on this. It’s just like back out and look at the past eight months.
Steve Ankerstar: (08:17)
Okay. And then take a deep breath. Okay, that’s enough. Let’s move on to murder Hornets. All right. So this is a thing if you already know about this, you’ve probably already seen all of these. I started seeing this at what yesterday, two days ago. It’s a thing and literally if you want to know more, there’s nothing I can say here that would do it justice. You have to Google murder Hornet and read about these things. But yeah, there are some I know people have been affected and I don’t mean to two be insensitive to that. But the, the, you know, it’s more of the, Oh, 20, 20 give us a break. Right? So we’re starting to get some good news about the coronavirus. I’m here in Texas, we’re opening back up. Governor announced today that on Friday, the barbershops and salons and spas and things can move open back up.
Steve Ankerstar: (09:10)
And then 10 days after that, I think we get the gyms and pretty much everything back open after that. So yeah, we’re kind of thinking, okay, maybe the coronavirus thing is manageable. Not saying beat, it’s over and any of that stuff. I’m saying it’s manageable. Mmm. And then you get a murder Hornet thing right behind it. It’s like really? So anyway so the, here are the topics that I talk about on a daily basis. Obviously oils bounce significantly off. It’s low. I did make a mention the other you know, the what two weeks ago that the situation in oil was going to be the opportunity. Like the March 23rd lows were for equities. You know, when on sale it’s time to buy. You know, I moved into one big name and I moved into one trading ETF, which when I’m out of now, but I’m still into one big name and many of you seen that show up in your portfolio and we’re going to stick with it.
Steve Ankerstar: (10:01)
That’s not over. I still think there’ll be carnage in the oil field, but the biggest and strongest will survive and might actually end up being better for it. Bonds took a huge hit and they shouldn’t have. I’ve talked to this a few times. I know if you’re a primarily a bond holder, my words are probably starting to ring a little hollow with you. I say don’t worry about it. And yet the bond prices have really not moved much back. I’m actually still buying bonds here because it has not really corrected. The fed was a little slower at getting into the bond buying business than I had anticipated. And so what I can say is bonds have stopped falling like a rock. They’ve actually stopped de-valuing pretty much across the board except for credit downgrades that that will still take a bond South. But other than that, they are going back North but they’re not healing nearly as fast as I thought they would.
Steve Ankerstar: (10:51)
So hi, no empty promises from Steve, but just be patient. It’s dumb. It’s coming back up. The triple P funds, the next round of that, you know, we had the first couple tree in and then you had all the controversy with the big companies and then you, you know, there was that and then there was a second round of funds. So you should be getting funds in your hands soon as early as you know, maybe even tomorrow already from that second round. So it’s out there that’s supposed to help the small businesses. Yes, there will still be bankruptcies and folks that are going to go out of business, but hopefully this can help people get back on their feet and at least a path towards recovery. I’m investing picture of the future. I do that anyway, whether there’s a big crisis or not, I’m always looking for what’s going to outperform in the next one, three, five to 10 years, not what’s going to move up or down tomorrow.
Steve Ankerstar: (11:43)
So I know when people ask, Hey, is this going up or down tomorrow? A lot of times if I’m towards the end of the day, I will simply say, I don’t care cause I don’t if it goes down, we’ll probably buy more. But I will never promise you to buy the exact bottom, even though we’d been very very good at that this year. But that’s not the promise. It’s Dubai on a dip somewhere where there’s a good price for a great company and we buy it and we add it to the portfolio and we sit back and we reap the benefits of it for months, two years, two decades. If we can we pick, make the right picks by quality. That’s you. He’ll hear me say best of breed if it’s not best to breed, generally I don’t want it. And what we’re really looking at right now is the potential aftershocks.
Steve Ankerstar: (12:26)
So you, we opened at least back up in, you know, Georgia, Florida, Texas, you name it for a few more States with the, you know, I’m not going to use proper medical terms, but the whole, you know, Hey, we won’t know for 10 to 14 days who has it, who doesn’t? So those are gonna be those aftershocks. So the numbers are continuing up. That’s obvious. We’re testing more than more people have it. More people are passing away from it. Not being insensitive to that, but certainly in a manageable level. What we really don’t know is how big these after socks are going to be. So, boom, we released everybody out. Society does, you know, we don’t know. So basically do what I’ve been saying you have to do the whole time is a bike for yourself, for your own health, fight for your family, fight for your community, your state.
Steve Ankerstar: (13:14)
Basically do, make all the right decisions that you can to protect yourself from this thing and try to get back moving forward. So at that, that’s all I’ve got for today. Seriously take, okay. A few minutes in Google murder Hornets and you will not believe what you read. With that. Thanks for listening in. I did want to say that the podcast is coming up. I’ve hung three episodes already, but they’re not live to the public. I want to have eight episodes hung before they’re live, but that’s coming this week. So with that, I’m gonna let you go. Thanks for listening in and we’ll talk to you next time.