A Very Significant Week
The Dividend Cafe
The Dividend Cafe - The Bahnsen Group
4.9 • 572 Ratings
🗓️ 14 May 2021
⏱️ 18 minutes
🧾️ Download transcript
Summary
Anyone who knows me personally knows that I loathe melodrama. And hopefully, anyone who has followed my writing for any period of time, especially my financial writing, knows that I hate click-bait, hype, exaggeration, dramatic hyperbole, shock and awe, and other such media-friendly tactics designed to scare, provoke, or just plain manipulate us.
I believe almost every day I am writing The DC Today is a boring day in the grand scheme of things. Markets may be up or down a lot on a given day, but as a goals-based investment advisor, with a few exceptions, those day-to-day movements in markets are almost entirely irrelevant. Some days have legitimate policy news, and every day has some aspect of economic information or perspective (Fed, housing, COVID, energy, etc.) that I genuinely love sharing. But it would take a lot for one of my daily investment pieces to warrant some kind of a, “not this is a day that changed history!”
This week saw the highest levels of market volatility we have seen all year. It was primarily in high tech and small-cap and more growthy/saucy parts of the market, but the Dow had a couple of big down days, Japan got whacked, and it was the kind of day where financial TV media ratings are up 40% or so from the norm.
And I am of the belief that this was a big, profound, and potentially impactful and historic week. At least, I think it will prove to be.
I just don’t think the bigness of this week had anything to do with market volatility. I don’t think it had anything to do with tech, with the Nasdaq, with Japan, with the CPI number, with bond yields, or anything else in that vein.
So what do I mean? Why am I being “dramatic”? And what does it mean for you as an investor?
Jump on into the Dividend Cafe … (and no, this is not melodrama or clickbait; I am just out of room in my intro letter) … =)
Links mentioned in this episode: DividendCafe.com TheBahnsenGroup.com
Transcript
Click on a timestamp to play from that location
| 0:00.0 | Welcome to the Dividing Cafe weekly market commentary focused on dividends in your portfolio and dividends in your understanding of economic life. |
| 0:12.5 | Well, hello. Welcome to another week's Dividend Cafe. Podcast and video. What is today? Friday, May 14th. So middle of the month of May, |
| 0:23.2 | and we actually finally had a pretty exciting week in the markets. And it's, there haven't, |
| 0:29.9 | there haven't been that many. I mean, there's been plenty of up weeks and some that were really up, |
| 0:34.9 | but more or less, you know, the almost entire year has just been a |
| 0:39.1 | kind of slow grind higher. Something's a little more flat. Something's a little more than a |
| 0:44.3 | slow grind higher, but but not a lot of up and down volatility. There was that whole kind of |
| 0:48.6 | game stop saga at the very end of January that lasted for about 90 seconds that created a little bit of volatility. |
| 0:55.2 | And there's been, you know, a few days. |
| 0:56.9 | But I mean, we're sitting here now halfway through the fifth month of the year. |
| 1:02.2 | And this week there were, what was it, Tuesday and Wednesday, excuse me. |
| 1:08.1 | Yeah, Tuesday and Wednesday, geez, where the Dow had had pretty significant downside |
| 1:13.9 | volatility on a point basis, still not very much really on a percentage basis. But the NASDAQ is down |
| 1:20.1 | still right now after some recovery today and yesterday, a thousand points from where it was a couple |
| 1:26.7 | weeks ago. So there's a lot of pressure |
| 1:29.4 | in those frothy elements of the market. And I've written about that a lot and I've talked |
| 1:34.0 | about a lot. And that's not what Dividing Cafe is about today. So when I talk about this week |
| 1:38.8 | having a lot of volatility and I say that I actually think there were some potentially history changing significance in the events |
| 1:48.8 | of this week. I don't mean anything to do in market volatility. That's not the context of what I'm |
| 1:53.5 | referring to. And it would take an awful lot. I mean, I think, you know, I've been managing money |
| 1:58.7 | a long time now and I think I've had maybe three weeks. |
| 2:02.2 | In that, in my career where I would say this was a week that activities in the markets will be in the history books. |
... |
Please login to see the full transcript.
Disclaimer: The podcast and artwork embedded on this page are from The Dividend Cafe - The Bahnsen Group, and are the property of its owner and not affiliated with or endorsed by Tapesearch.
Generated transcripts are the property of The Dividend Cafe - The Bahnsen Group and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.
Copyright © Tapesearch 2026.