 Hey, hi everybody. Welcome. Welcome. Welcome. Welcome to Dedicated to financial literacy. I'm Russell Moore in the host of this channel. I want to just remind everybody Please please hit the subscribe button subscribe to the channel Hit the bell if you want more content in the future and hey, give me a thumbs up or thumbs down Hey, I you know, I want you to be honest. You don't like it then thumbs down me Anyway It's it's Monday I'm October October 4th, and we are man, we are definitely in a sea of red with the stock market the NASDAQ the Dow S&P 500 and Russell 2000 all of them are down today and No, I'm not gonna tell you the percentages. I'm not gonna do all that I'm gonna let what do I always say? What do I always say? Here's my motto of this for this channel if you do not Learn you will not earn I'm gonna say that again if you do not You will not All right, everybody got it. Okay, if you do not learn you will not earn and that's I really believe that with all My heart you have to do your own research and so I wanted what here's what I want you to do Here's your homework go to yahoo.com slash finance and And look and I want you to put in a comment area where all three Markets were today Where they were I want you to put all three of them in my comment section where the Dow was where NASDAQ was and The S&P 500 and for bonus if you want to put the Russell 2000 put that in there as well interesting My name is Russell More all right, so There's a lot going on you know a Lot going on today and on why you know people are wondering why the market is selling off the way it is One of the things is that Inflation another indicator came out with indicating that Inflation was it's higher than we thought And like I've been saying I've been saying this over and over and over again you guys I really do not believe that inflation is transitory. I don't believe that I do believe that in certain sectors in certain areas def deflation will happen Okay, and is happening, but I think overall overall and You know look to me. I don't I don't feel like you need to be an economist to see this No, really, I don't think you need to be I You know I love Kathy Wood. I think her man. She is awesome Me Kevin. I you know some of these These man these people that are out there that are putting out content I think they're amazing, but I have to disagree with this This this theory on deflation. I've listened to all their arguments One of the things that I want to bring up that Kathy Woods talks about all the time is she talks about the five sectors of disruptive innovation and you know What are the what are the five AI? DNA sequencing Robotics data storage and blockchain. Okay now to me you can't compare that To the industrial revolution where the big three the combustible engine the Electricity and telephone and let me tell you why those three they were not just innovative They were a necessity. I Mean it changed the lives of not just America, but the entire world and yeah, these disruptive innovations they will too But it'll be in a different way some of those innovations are going to be in the background Nobody even knows how they work on and how they're going to affect our lives You know for example DNA sequence Most people it's going to take three to four or five years where people will even appreciate that innovation maybe ten years Because people nowadays are more skeptical skeptical skeptic than any other time in history if you I mean Everybody's paranoid. Why do you think we got all of these different things? Especially and here's what the big three didn't have they didn't have social media When you have social media social media is a great outlet, but it also can be very dangerous Because anybody can get out there and give their own opinion about a particular innovation And so all you have to do is have somebody say could you I mean remember? remember what happened with When you know Tesla Remember when they were arguing well, they were they were they were having a debate over AC and DC and remember Bell you remember what happened They use the electricity I believe DC for the electric chair and The person got fried a person got it's you know I think it's had exploded or something that crazy and everybody was like oh no electricity Can you imagine if there was social media back then? I don't electricity. We probably wouldn't even it wouldn't even be like today It may have gotten smashed and totally. I mean can you imagine? If we had a click of a mouse people could have all this information all the different things that was would have been said Because anybody would have been able to say something about electricity at that time. See that was the see That was the good thing back then of the information That kept people from that that would cause people to be so skeptical skeptical a Lot of people didn't hear it All they had was the newspaper All they had was the newspaper and that was enough, but can you imagine so my point is this There's because of social media a lot of these innovations are going I think are going to be held up some won't some will and I don't think people will really see the value. I really believe that Kathy Woods is ahead of her time. I Really believe that I believe she's right. I believe she's right, but you know But how many times you know Was Ford you know Ford was right, but how long did it take for the combustional engine to get out there? You know what I'm saying These these innovations these innovations are going to take a little bit of time and so as a result I Think deflation is going to be held up and we're going to experience more and more inflation Another thing that's happening is with the jobs people are not people are not going back out there to work and Everybody keeps thinking it's because of the stimulus. That's part of it But will we please stop saying that that people are getting more money during the stimulus the stimulus is over the last Stimulus has been it's over Okay Months ago the stimulus is over you guys stop using that it's the reason why people are not working Let me tell you one thing. Let me tell you what's happening That I can tell you just from talking to people and this is how you find out stop listening to just all I'm not saying data Is it's horrible, but stop just listening to data and just talk to people We've gotten away from just socially just talking to people yet a restaurant strike up a conversation say hi to people Okay, and ask them ask them. Why are you not back at work? Why are you sitting here on your laptop? For one people are finding out there are more than one ways that here's what the years what the pandemic taught us people that were afraid to be entrepreneurs To step out and try something different They've gotten locked into this job and it became dependent and secure on this paycheck and They were afraid to step out and do something new and more and more people are saying wait a minute I can stay home with my kids. I can do something online I have this little gift or hobby I've been working on for years and you mean to tell me it can be translated into actual money and meet my needs and my family So more and people more and more people you especially young people are like I want to be an entrepreneur That's one thing that's happening I'm talking to my niece. I'm she's a millennial. What did she say? You know what? I'm tired of working for the man. I want to start my own thing So what is she doing? She started a candle thing now. She's doing Why am I saying this you guys stop blaming it on the stimulus on why people are not going back to work? Number two here and to me. I think this is something that's not talked about and that is The treatment of employers versus employees This is really really bad a lot of employer employers are getting a wake-up call during this time because It used to be an employer's market. It's now. It's no longer an employer's market. It's an employee market Employees are starting to say no, I want more money. I know that you're short. I know you don't have enough staff I want more money. I want benefits We got people that are working and didn't have any benefits before the pandemic We're treated poorly. I Mean literally they were treated poorly by employers by managers by executive teams They were they were they were they were told and basically demanded that they work more hours Without paying overtime Yes Yes, you're like well, that's a violation that's a lawsuit Well, the everyday the everyday person may not even know That they could call Edd and file a complaint They were afraid of and some of them were afraid of retaliation now. I need my job. I got kids I got to feed my kids so they wouldn't even complain about it or they were afraid to or they were intimidated And now they're like, okay, they didn't even care about me when the pandemic took place. They fired me They just let me go So they're like wait a minute. These people don't really care. They just want to stay in business Well, what would you do if you if you didn't think your employer cared about you and you finally got that revelation They're just they just want and there are I'm not saying that there are many employers that do care Okay, so I'm not putting all employers in the same boat but what I'm saying is there's too many employers that were and too many employees that were Experiencing and ploy your abuse and is something that we're not talking about I Believe this is going to change it has to you've got to be to treat your employees employees better Remember in 2008 the Great Recession They said the Clorox And I don't know if it was P&G that owns Clorox or I can't remember but Clorox in particular read an article And they said that hardly anybody resigned. I mean, I'm sorry was laid off during that time Where there are thousands of layoffs and everything happening during the Great Recession in 2008, right and they said that Many of instead of laying the people off They actually were giving them and you guys don't quote me on this. I can't remember the exact This was back in 2009 2008 when I read it, but they actually gave their people stock And they got more production during that time than almost any other time in the history of the company People were working their tails off Because instead of laying them off during the 2008 recession. They actually gave them stock to the company and bonuses See that's what that's what an employer is supposed to do You're the reward great work. You're to reward dependability. You're the reward people that are doing a great job for you Without the employer your company does not exist period I'm gonna say that again. This is for every employer out there. You do not exist without an employee Show great gratitude for them reward them Reward them if you make more money this quarter give some of that to your employee Anyway, I don't mean to get on my soapbox about employees and all that. That's really not what this was about I was really just trying to give everybody an update on the market and everything But here's what I believe. I just wanted to say that Kathy. I Really, I really don't believe that inflation is transitory. I don't think this is temporary. I really don't Now remember I said this What this is October the 4th? 2021 inflation will not be transitory Prepare there will be a greater sell-off Prepare for it prepare for it. I've been saying this Every single month every single week now been saying this for several weeks prepare Have your cash Have cash ready and buy the dip because the dip will keep dipping I'm telling you now the dip is going to keep dipping have your cash Right now. I have I'm gonna tell you what happened. I'm not telling you what to do Okay, please don't take this advice do your own research. I'm shorting that some p500. I'm shorting I'm shorting I'm shorting Russell 2000 I've been shorting for a while. I'm shorting now. I'm shorting the Nasdaq. I've been shorting all of them That's why I'm smiling Look at what the day. Look at what Nasdaq the tech stocks have done overall Look at what how it's went down. Okay. Let me tell you. I'll have you look at it. Look at ticker symbol sqq sqqq just look at it. I'm not telling you to purchase it It's inverse. So it's dangerous so But look at what it's done in one month. I Did an option a call option on it? 23% in a month in order for that to happen That means the Nasdaq had to go down in order for that call option to go up The Nasdaq had to go down a Lot of people don't even realize the Nasdaq went down 23% overall in the whole month Look at sqqq and look at what happened if that stock went up That means Nasdaq went down. Look at what it did in the last month And then it didn't wait wait be patient. I keep telling people be patient now Let's talk a little bit about the debt ceiling before I go Everybody's wondering and panicking and wondering and I think this is part of the reason there is a sell-off Everybody's wondering what is going to happen with the debt ceiling Who's gonna bend who's gonna break will the Republicans break or with Democrats break. I think the Democrats are gonna have to use that that budget Reconciliation They're gonna have to use it up. They're gonna have to use that last one In order to get they don't need the Republicans Joe Biden when you please stop lying and telling people that it's the Republicans fault you guys don't need it You don't need the Republicans to raise the debt To raise a debt ceiling you don't need the Republicans stop saying that it is not true Raise it. They're gonna have to because I don't think the Republicans are gonna budge To me they got the upper hand in this situation they do and Because what happens is if if I think the Democrats have more to lose if the debt ceiling if they let it go if the Democrats let it go the All hell is gonna break through break loose and It's gonna affect so many social security. It's gonna affect venture It's gonna affect a lot of things the federal government It's gonna affect a lot of things and our economy is going to and that's what we're gonna hit The housing market is gonna get hit as a result of that everything It's going to be affected and Guess who will get the blame Joe Biden and the left So they're not gonna let that happen And so to me if I'm Republicans I hold I hold I hold I'm not we're not no we're not raising it You will have to raise it You will have to raise it. The one that's gonna get the true blame is the one that's in office and That is Joe Biden and the Democrats and they should They should They're trying to squeak They're trying to push this three three trillion dollar and let me tell you something I would even benefit I Would even benefit from them from the three trillion dollar infrastructure bill. I would but I don't want to I don't I don't want it If it's going to affect us and put us more in debt as a country now They're saying oh, it's already paid for taxes tax to rich. No, they're gonna tax all of us That's the only way three trillion is gonna be paid back if everyone is taxed not just the rich come on We already just found out about Pandora's papers Where the rich has been they're hiding their money in other places. I want to see these files Man, they said over seven how many hundred and fifty thousand pictures are found in this file We're all the rich all these rich and governors governments and different leaders Have been hiding their money a Lack of integrity and lack of honesty So of course they don't care if the taxes are raised They don't care if they raise the taxes. They're hiding their wealth And I think I think we should go out think they should go after it I think they should go after the wealth if somebody's hiding wealth and they're not paying or do taxes And we're getting tax like the yin up the yin yang We're paying more taxes. That's why it is one of the things that I'm working on right now Make sure me and my wife. We're not paying all all these taxes so many more. We're getting more tax wise I want to encourage everybody get tax wise if you can't find somebody that is and let them help you So that you can reduce your tax burden your tax bill annually Especially for those of us who have property. Okay, so anyway, I just want to say look This is not the time This is not the time to panic You can make money in the market if the market is going down or up. It doesn't matter you can make more I'm making money today was a red day, but not for me It was a green day for me because I had been shorting the market. I said it was a green day for me So you don't have to lose money just because the market's going up or down That's why I keep saying What's my quote? You won't learn you won't earn if you don't learn You won't earn if you don't learn gang You won't earn if you don't learn. I'm gonna keep saying it. You won't I want you to sleep with this I want you to dream about this this quote You will not you will not earn if you do not learn Learn and you'll earn. All right, everybody. Have a wonderful day and I'll talk to you later Have a wonderful wonderful week and remember by the dip by the dip, baby