Welcome to the Money Tree Investing Podcast.

Stock market, wealth, personal finance, value stocks, invest in your life.

Hello, Smart Money Tree Podcasts listeners.

Welcome to this week's show.

My name is Kirk Chisholm and I'll be your host and today I am joined with my good friend Doug Hagerin.

Hey Doug.

Happy Friday, good to be alive and live

today with you. Cheers to that, Doug. I'm always happy to be alive, although some days

doesn't always feel that way. Let's dive right in. So today, this is kind of an interesting week.

We had a lot happen this week, a lot of data come out. Oddly enough,

it is just in line with what you've been saying for the last 12 months. Let's hope the listeners

have remembered some of this because we're going to talk about a little bit today. So if you

remember last year, we had been talking about how the market was not pricing the future interest rates properly. And for those of you who didn't

hear those episodes, what we talked about is how the stock market is typically forward looking

about six months approximately. So it's looking ahead six months and saying, all right, six

months from now, here's what's going to happen.

We're going to price that in today.

So it discounts it today, what's going to happen six months from now?

So if the market thinks that interest rates are going to be down 1% in six months, going from five to four, they're going to price it in for four.

If they think it's going to be up,

they'll price in for up. So it's all about pricing in what the future is going to hold.

And that's why we have volatility. They're not pricing in what happened today. They're pricing

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