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Is The Trump Rally Real?

• This week, we got some important data on inflation.
• The CPI came out, and as we’ve been telling you, CPI went back up again.
• We said that the Fed overdid it with their 50 basis point drop, and now inflation is going back up like we said it would.
• We anticipate that inflation will rise through the end of this year and maybe even get above 3% again heading into January.
• Is this a reason for us to panic? Should we sell all of our bonds?
• No because, if we look six months in the future, we think that inflation is going to start trending back down.
• We believe we will get to the Fed’s target of a 2% rate towards the middle of next year.
• That bodes well over time for bonds, even though right now it doesn’t look so good.
• Keep in mind that bonds have two parts to them.
• Even though the value of bonds may be coming down, there’s also the dividend, the interest you get.
• We are getting a decent dividend that’s paying us to wait this thing out.
• On the stock side, we had what’s being branded as the Trump rally.
• The market went way up, set new all-time highs, but we’ve seen some of the steam taken out of that.
• We don’t think it is anything to be overly concerned about either.
• We will need to wait for reality to set in, see who’s going to be on the cabinet, and what the policies are going to be before we truly know what’s going to happen.
• However, we do anticipate that Donald Trump represents lower taxes and lower regulations, and those tend to be good for profits.
• We think profits, if they’re good, drive the stock market, and therefore our investments.
• If you have cash on the sidelines that you think should be invested, we think now may be the time to consider doing that. We’d certainly be glad to help you if that’s the case.
• We must always understand the importance of growth is important, but protection of principle is even more important, even though we think we should end the year pretty nicely.
• It’s super important to have a strategy to address the downside in our view, and that’s our Invest and Protect Strategy.
• Without it, we’d be worried about losing all our gains from a market crash after reaching all time highs.
• The fact that we have our Invest and Protect Strategy gives us a lot of peace of mind because we know we’re taking care of you, and we hope that gives you peace of mind as well.


Hello and welcome to our Market Alert video for today, which is November 15. Yep, 2024 I hope all of you guys are doing well. You may notice that I am not in my suit and tie. I’m not in the office. In fact, I’m in bed, and the reason why is because I’m convalescing. I just had my knee replaced three days ago, and so right now, I just did my exercises. I’ve got the icing and the compression. I’m laying in bed. I’m wearing my proud to be an RPOA SCWPerS shirt, and I’m all set to do the video for you. You know, as they say, the show must go on, right? And so I will ask you to indulge me, though, because I’m on pain meds right now, so if I’m a little bit loopy, you’ll know why that is. So thank you for watching, and for all of you who are SCWPerS, I’m so happy for you. I hope you’re out there SCWPering your tails off for those of you who are not yet, it is our goal to get you there. We want you to enjoy that second childhood without parental supervision, and go play and enjoy and do all the things that you’ve worked so hard for. That’s our goal in life, is to facilitate that for you. So this week, we got some important data on inflation. The CPI came out, and as we’ve been telling you, CPI went back up again. We said that the Fed overdid it with their half a point drop, their 50 basis point dropped, they panicked. And so inflation is going back up, and it’s exactly what we said would happen. Now we anticipate that inflation will rise through the end of this year and maybe even get above 3% again heading into January. So is this a reason for us to panic? Is it a reason for us to sell all of our bonds? We’re seeing the bond prices come back down. All those beautiful gains we made are going away. No, it’s not because the market looks six months into the future generally. And if we look six months in the future, we think that inflation is going to start trending back down, and probably towards the middle of next year, we’ll get to what the Fed’s target is, that 2% rate. So that being the case, that bodes well over time for bonds, even though right now it doesn’t look so good. Now keep in mind that bonds have two parts to them. They have the value of the bonds, which are now coming down with because people are now saying they’re not going to lower interest rates as much as they were going to. But secondly, there’s the dividend, the interest that you get, and right now we’re getting a decent dividend that’s paying us to wait this thing out. So from our bond standpoint, no reason to panic at this point yet. On the stock side, kind of interesting. You know, we had what’s being branded now, the the Trump rally, the market went way up, set new all time highs. The market was already a little expensive before that happened. So it’s, it’s easy to understand why. You know, we’ve seen some retrenchment come out of that, some of the steam taken out of that, nothing to be overly concerned about either. You know, we’re kind of in this honeymoon high expectation phase, because everything right now is romance. We have to wait and see who’s going to be on the cabinet, what the policies are going to be, you know, and reality to set in before we truly know what’s going to happen. However, we do anticipate that Donald Trump represents lower taxes, he represents lower regulations, and those tend to be good for profits. And as you guys know, we think profits, if they’re good, drive the stock market, and therefore our investments. So if you didn’t watch our video last week, I highly encourage you to go back and see it. I had Jordan Roach on with me, our chief financial investment officer, and you know, he gave, I think, a pretty compelling case for if you have cash on the sidelines that you think should be invested, that you know now may be the time to be thinking about doing that. We’d certainly be glad to help you if that’s the case. The other thing also, of course, is we must always understand the importance of growth is important, but protection of principle is even more important, no matter, even though, right now, we think the markets are going to head in the direction we want, and we should end the year pretty nicely and into next year also, it’s super important that we always have a strategy to address the downside and that’s our Invest and Protect Strategy. Without it, you know, I wouldn’t be able to sit here and feel safe with my ice machine on and, you know, doing this video, I’d be worried about, oh my gosh, we’re at new all time highs. What if the market’s gonna crash now? What should we do? So the fact that we have this, our Invest and Protect Strategy gives me a lot of peace of mind, because I know we’re taking care of you, and I hope that it gives you that peace of mind as well. So thanks for watching, thanks for indulging my lack of tie, my in bed, my loopy. So we’ll talk soon, and please share this video with all of your friends and family and make sure you subscribe as well. We need as many subscribers to this video as you possibly can get. So again, we’ll talk soon.

Please note: transcript has been modified after the time of recording. 

Economic indicators and stock market performance cannot be predicted. Opinions expressed regarding the economy and the stock market belong solely to Ken Moraif on behalf of Retirement Planners of America and may not accurately portray actual future performance of the economy or stock market outcomes. Opinions expressed in this video is intended to be for informational purposes only and is not intended to be used as investment advice for individuals who are not clients of Retirement Planners of America. All content provided is the opinion of Ken Moraif, CEO and Founder of RPOA Advisors, Inc. (d/b/a Retirement Planners of America ) (“Retirement Planners of America”, “RPOA”). ©Copyright 2023 

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RPOA Advisors, Inc. (d/b/a Retirement Planners of America ) (“Retirement Planners of America”, “RPOA”) is an SEC registered investment adviser with a primary business location in Plano, Texas. Registration as an investment adviser is not an endorsement by securities regulators and does not imply that Retirement Planners of America has attained a certain level of skill, training, or ability. The “Invest and Protect Strategy” (the “Strategy”) refers to a strategy that Retirement Planners of America fundamentally employs for its clients. Retirement Planners of America previously employed a similar strategy that it referred to as the “buy, hold, and sell” strategy or “buy hold, and protect” strategy. Past performance does not guarantee future results. 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