-- Published: Monday, 30 July 2018 | Print | Disqus
(S13-E654)
Featured Guests
Louis Navellier &
Bob Hoye
Show Highlights
Louis Navellier of Navellier & Associates sees the best corporate earnings in decades, a 24% increase in the 1st Qtr.
Gold and related shares deserve a place in every investment portfolio according to our guest, as the ideal panacea against government profligacy.
He finds little fault in the much maligned trade tariffs, agreeing with his friend and colleague Larry Kudlow's plan to undo protectionist policies.
Protectionist-trade must be rebalanced through careful negotiations with President Xi as well as other key trading partners.
The duo examine the Navellier Growth web page that highlights 73 stocks recently upgraded from a Hold to Buy rating.
Our guest shares several of his favorite stock candidates, including one of his holdings that added 18% gain just today.
Topping the list and his largest holding, the GPU chip maker Nvidia is also a favorite of the host due to remarkable Beta / Alpha statistics.
NVDA makes even the most lackluster investment portfolio look like a diamond by topping earnings expectations for nearly 3 consecutive years.
NVDA has record GPU demand stemming from processor-intensive applications, such as research projects, financial modeling, and weather forecasting.
(NVDA) is the top GPU mining company with the most cost competitive ZOTAC crypto mining capable GPUs, two of which ran on the studio workstation during the discussion.
(CXS) was increased from a hold to a buy, however, our guest prefers trucking firms such as Old Dominion and Knight.
Lockheed Martin (LMT) that continues to benefit from solid economic growth, global and military demand.
In the red hot energy sector, picks include EC-Petrol SA, (EC) an oil company as well as the refining company Valero (VLO).
The host finds the talk of Bitcoin stealing market share from gold dubious at best.
With less than 3% of global inhabitants owning any Bitcoin whatsoever, widespread adoption has not yet taken place and confidence is nascent.
On the contrary, Bitcoin / ETH and related tokens appear most closely correlated to the remarkable US Tech boom, as illustrated by the recent 7,400 NASDAQ.
The peak is about 50% above the year 2000 Dot.com bubble top.
Bitcoin and competing cryptos represent de facto safe haven money alternatives primarily in countries like Venezuela where inflation could top 1 million percent.
The discussion includes quantum computing, a potential threat to the cryptospace, where binary computing gives way to q-bit technology.
Via entanglement, q-bit based computers facilitate nearly infinite parallel processing, particularly useful for cracking private keys.
For instance, a brilliant quantum computer programmer with access to a $10 million machine, might crack Satoshi Nakamoto's 1 million Bitcoin wallet, winning an $8 billion prize.
In theory a brute force, quantum based cracking-algorithm could accomplish the task, though not condoned by the show host, guest or Goldseek.com.
Bob Hoye of Institutional Advisors outlines the latest financial market activity from his scenic mountain office overlooking the bay in Vancouver.
The central importance of the national yield curve for every North American as well as our International listener's is the crux of today's episode.
Financial institutions remain solvent buy borrowing at lower interest rates in the short-term while lending at higher interest rates with longer maturity's.
When this spread begins to narrow or flatten, the profitability declines proportionally with highly predictable significance.
As lending slows, corporate expansion declines, work place hiring decreases, unemployment climbs, profits wane and economic expansion yields to recession.
The yield curve is the flattest it's been in 11 years, the spread between 2 and 10 year Treasuries.
Since the 1960's each recession was preceded by an inverted yield curve, suggesting that a recession could unfold as soon as 2019.
Nine out of ten recessions (Michael Pento, 2018) occurred after the yield curve inverted.
If the current price hike trend continues with two more rate hikes, the rate inversion could portend trouble for the financial markets and opportunity in gold
Bob Hoye outlines a unique perspective on the trade war noting that Washington D.C. is attempting to reverse decades of unfair protectionist trade practices against the U.S. to the benefit of every domestic citizen / businesses.
Guest Bios
Bob Hoye
Institutional Investors
With a degree in geophysics and a number of fascinating summers in mining exploration, one winter in "the bush" quickly led Bob into the financial markets. This included experience on the trading desk and in the research department of a large investment dealer, which led to institutional stock and bond sales.
Bob's review of financial history provided the forecasting models designed to anticipate significant trend reversals in the sometimes alarming volatility typical of the transition from rampant speculation in tangible assets to fabulous speculation in financial assets.
In anticipation of the latter opportunity, a monthly publication for financial institutions was started in January 1982.
This competently covered the stock market, the yield curve, credit spreads as well as metal and energy prices.
In 1998 the Institutional Advisors website was started as a forum for unique and reliable financial research.
Chairman/CEO/CIO Louis Navellier is Chairman of the Board, Chief Executive Officer, and Chief Investment Officer of Navellier & Associates, Inc., located in Reno, Nevada. Mr. Navellier is also editor of four leading stock advisory newsletters: Emerging Growth, Quantum Growth, Blue Chip Growth, and Global Growth. A recognized expert in translating what had been purely academic techniques into real market applications, he believes that disciplined, quantitative analysis can select stocks that will significantly outperform the overall market.
Mr. Navellier employs a three-step, highly disciplined, bottom-up stock selection process, focusing on quantitative analysis, fundamental analysis, and optimization of the securities selected for the portfolio. In 1980, Mr. Navellier began publishing his research in his stock advisory newsletter, the MPT Review. Since 1987, he has been active in the management of individual portfolios, mutual funds, and institutional portfolios.
A charismatic figure with a reputation for solid leadership, Louis Navellier has been covered by a wide range of international media. In addition to appearing on CNBC, Bloomberg, The Nightly Business Report, and Wall Street Week, he has been featured in Barron's, Forbes, Fortune, Investor's Business Daily, Money, Smart Money, and The Wall Street Journal. Most recently he was profiled in Kenneth A. Stern's book Secrets of the Investment All-Stars in the interview "Louis Navellier, A Man Who Has Beat Them All." He is also featured in Alan R. Ackerman's Investing Under Fire: Winner Strategies from the Masters for Bulls, Bears, and the Bewildered.
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