Why Tesla & Stocks Fell into Closing Today | Warning.

hey everyone me Kevin here why did the

market fall into the close today and yes

we are on autopilot so thank you Elon

Musk while we focus on the road and

explain what the heck happened in the

market today and what you've got to pay

attention to this week because it is

weird it is almost just as weird as the

Phantom breaking happening right now but

it's okay we'll get through it okay so

first things first the market sold down

almost all day long why I mean you

pretty much had a slippery slope on the

cues first of all we had Euphoria in the

morning because oil prices collapsed

that usually implies more consumer

spending because people have more money

for stuff rather than money for gas okay

this is simple and lower geopolitical

tensions because maybe now the Iran

Israel attack Counterattack attack

Counterattack Saga is over maybe that's

all hopium okay whatever as that faded

markets began maybe at the same time to

start going oh dang we got a catalyst

full week this week and I'm not even

talking about earnings from snap or

apple or Microsoft or Intel we're not

talking about the big earnings this week

like AMD or Ford today which suggested

that their next year's guidance is in

the toilet but then again it's found on

road I mean it's Ford so you know what

do you expect uh just because they're

bragging about oh wait no they're not

bragging about their EV sector they're

actually complaining about their EV

sector doesn't really mean much for

anything it's four so let's instead

focus on what matters which is in my

opinion what the market is most

concerned about right now and it is why

you're not investing in house okay I'm

just kidding that was a Shameless plug

I'm on my way to the airport right now

because I got to do work for house hack

but anyway no it actually has a lot to

do with jobs yes nobody knows jobs are

better than the

Donald or really any everybody focuses

on jobs in the market right now why is

everybody focused on jobs well because

of the data that's coming out this week

we know that we have a Federal Reserve

that is data

dependent okay well what kind of data

are we going to get this week let me

just work backwards because it's

literally every day you're going to get

some data here that makes you kind of go

oh wow yeah we are getting a lot of data

this week okay so working backwards on

Friday we are getting the BLS as some

like to say the BS labor report because

it's already November congratulations if

you have any challenges left for the end

of the year you have just 2 months left

to go before 2024 is over which means I

only have two months left to achieve my

weight loss challenge goals and then I

have to get into the in my opinion

harder part the bulking up phase anyway

that's a topic for also a different

video but on Friday uh at 5:30 in the

morning we are expecting

110,000 jobs that is significantly lower

lower than the crazy 254,000 jobs we got

last Labor report now what was so unique

about the last Labor report well no it

wasn't that teachers went back to work

we already knew that teachers went back

to work in September and we knew that

the seasonal adjustments this September

were historically H the highest seasonal

adjustments that we've seen since like

2011 to 14 somewhere in that range crazy

seasonal adjustments and crazy numbers

in total but let's actually get to the

nitty-gritty because maybe there's a

reason for it and I actually think there

may well have been a reason once we

adjusted out about 500,000 teachers in

the BLS labor report we were still left

with an increase of

785,000 government workers that drove up

the level of unemployed workers and

drove the unemployment rate down to 4.1%

had we not gotten those workers those

government workers we would have had an

unemployment rate that would have gone

up to 4.5% not down to 4.1% so rather

than potentially deactivating the S rule

we would have really reiterated the S

rule but where do these government

workers come from is this just rigging

because the election's coming up yeah

that's possible but the other thing is

maybe that's normal in an election

season see in an election season who

gets hired like 2 to 3 months before an

election pole workers they have to get

trained how to manufacture I mean count

ballots so that that way we know we have

free and fair

elections once we know we have workers

that are hired for elections then we

wonder okay well what else could

contribute to seasonal hiring seasonal

quote unquote hiring in September oh

catastrophes like FEMA ramping up hiring

for hurricanes com coming I'm not saying

that's definitely what happened but it's

possible the downside is both of those

job increases are going to evaporate by

January you know know ballots still have

to get counted from suitcases I mean you

know from wherever they get stored uh

into January maybe not all the way into

January but after the election and uh uh

and and you know female workers are

still going to have restoration work to

do only once that work is done do we get

to a position of losing those jobs so

those 785,000 jobs that are government

workers that are not teachers those

might end up

evaporating in November in December in

January so we might not actually see

that negative jobs read until as frankly

as late as February which is also when

you would expect to see seasonal hiring

for retail sales like you know Amazon

holiday workers get laid off and it's

also around the same time you generally

see companies re-evaluate their budgets

because they're like all right how was

our holiday season oh wow it was trash

okay let's fire people so we have a good

budget for the year very common that

sets up a disaster for the beginning of

2025 but that's just the data that we're

going to get Friday the Friday jobs

report is just the October number which

will be heavily skewed by hurricanes and

potentially female workers and uh it's

going to be messy so uh we'll we'll see

I'm I'm taking over so forget the

beeping for a moment uh so uh you know

take all of these numbers with a grain

assault on Friday uh I'm taking over cuz

there's this giant this truck in front

of me that has like 200 pallets on it

and I'm like I'm going to keep my

distance here from this one I don't

think FSD has the uh distance

recognition yet for when you think

somebody's about to drop a bunch of

stuff but anyway uh then that's just

Friday's data and that's expected to

come in low at 110 but who knows maybe

it'll be like crazy like we had last

time I mean we were expecting to get 140

and we got 254 was kooky okay like we

would have been negative headed up into

the government workers but whatever it

is what it is uh okay that's jobs Friday

but we got to work back here because

what else do you get well on Thursday

you get the Challenger job Cuts report

last month Challenger job months uh job

cut report Challengers job Cuts report

mouth was horrible it was a terrible

report but like nobody paid attention to

it because it was overshadowed by all

these government workers and that's a

private survey it's really important it

was a bad report you could go look it up

look up the September Challenger jobs

report just type that in to Google and

you will vomit if you actually read read

it employment cost index is expected to

come in at 0.9 this is not a significant

source of inflation jome Howell doesn't

expect that wages are really going to be

a source of inflation and even when

wages were going up in 2023 we had

inflation coming down so we're not

really worried about that there's more

of an inflationary impetus from who's

going to be president than in my opinion

there is actually from jobs uh in my

opinion we're actually going to go in

the opposite direction you're going to

see wage Cuts over time and people are

going to be fighting for jobs

undercutting each other like I'll work

for less I'm not cheering that at all I

am just providing that as a warning to

you I think that's coming we are not

going into an era of stagflation or

hyperinflation again we are going into

an era of deflation and this might be

unpopular but I've been singing this

song for the last two years nobody

believed me that inflation would go down

as it has been and now it is and I think

it's going to get a lot worse

recessionary worse is that a word I

don't know uh so Challenger ECI

obviously we get unemployment claims on

Thursday but who cares about that on

wednes those are those not a leading

indicator at all on Wednesday we get the

ADP employment report which is a another

private survey we're looking for 110,000

jobs created versus 143 note once we

start getting around that 50 to 70 range

that's usually when you're recessionary

because those usually get revised down

uh and remind like remind yourself that

we are still not at the level where the

yield curve is at such a point where you

generally break the economy we're not at

that recessionary point yet usually the

yield curve has to be positive 50 to 90

uh to actually cause recession then

working backwards again on Tuesday which

is tomorrow we get the jolts report job

openings and labor turnover survey I

actually don't know how much of a

leading indicator this is going to be

because this is so heavily dependent on

the seasonal openings like just because

Amazon has a crap ton of job openings

for seasonal work is that the same value

as a long-term employed person so I'm

really going to scrutinize this report

to see what kind of seasonal adjustments

I actually include in it if any but my

opinion in case you're wondering why you

know oh why did Tesla close down 2% I

don't think this is anything fundamental

with Tesla I already made a fundamental

video on Tesla uh you could watch that

uh keep in mind I'm back I'm going to be

posting more than ever and so it's going

to take a little while for the YouTube

algorithm to get used to me being back

and so it's going to take a minute for

to recommend my videos again that's okay

it's to normal I know that and I've got

work to do here for house act which I'm

excited for you can talk about in just a

moment if you want uh but uh and what

we're doing but uh and where I'm going

uh but this is going to be a catalyst

Rich week so keep that in mind when

you're trading this week or if you're

looking for buy the dip opportunities or

investing I think everything is going to

be uh predicated on what happens with

these job numbers not because we want

them to be but because people are going

to be dated dependent and they're going

to look at these job numbers for how do

we price in the Federal Reserves

activity in the November meeting keep in

mind the next fed meeting is right after

the election so that's in like two weeks

uh and it's a big one because are we

going to get another 50 probably not are

we going to get 25 hopefully but who

knows maybe not the last time the

Federal Reserve cut by 50 the Federal

Reserve ended up leading the 10year

treasury to Skyrocket just the way it

did in 2007 and that increase of that

10-year treasury yeld is exactly what

actually created the recession in the

first place so I think the Federal

Reserve is uh flying a little close to

the Sun here they're playing with fire

and I'm not really happy about it but

you know what are you going to do it it

is what it is so you know people stop

this a park car so people ask me uh you

know all the time like Kevin you know

where are you on the bull bear scale and

I appreciate that I I I want to say I

think I was uh wrongfully early on the

recession call but I do not think that

I'm wrong on the recession call so the

higher stocks go the happier I am for

you and the same is true for our

financial advice clients you know we

have a bunch of clients uh even people

who are just booking intro calls to see

if we'd be a fit for them over at stock

hack.com and we have a bunch of people

who reach out to us uh and they say Hey

you know uh how can I get into real

estate how can I diversify my stock

portfolio uh how can I uh enhance my tax

write off or do you have any strategies

you're an entrepreneur Kevin what can I

do to minimize my burden this year we

have a lot of creative ideas this is

what I do for a living is is minimizing

tax outlay baby uh and so uh a lot of

our clients over at stock.com they're

looking at this too going look you know

we know we might not be in a recession

right now but we don't want to be caught

flat footed we don't want to be caught

off guard so they're seeking the

professional help of licensed financial

advisers it's myself and my team and uh

every single advice bit of advice every

single bit of advice that goes out of

the door is signed off by me nobody else

signs it off so I want you to know that

uh anyway I got to hop on the plane now

I appreciate youall house.com if you

want to learn about uh our latest

investment offering we're really excited

to uh work for our investors and uh my

latest Motivation by the way is uh

kicking Grant cardone's butt so I want

you to be part of that Journey all right

folks thanks so much we'll see you soon

bye