The next phase of tariffs were announced this week to impact steel and aluminum.
We shall see if this is just a bargaining chip or something we are going to have to live with for some time.
We made it through the Mag 7 earnings which were as expected but not greater than.
This should lead to the broader market finding traction with the trading public.
This has been such a top heavy market that have left many quality companies lagging far behind
The reason I don’t think it will be a serious pullback is that earnings continue to meet expectations.
We need a little reality to set in so that there will be an appreciation for meeting goals instead of having to far exceed such.
Honeywell is taking a page from the GE playbook and has announced that it will split into three separate companies.
GR was rewarded by such action with the sum of the parts being far greater than the whole.
The theory is that the aerospace portion will be unshackled by the other parts and achieve a far higher evaluation.
The next big shift will be the monetization of AI. The In structure build out has enriched the likes of Nvidia and Broadcom.
Now you are going to see the likes of Microsoft and Oracle providing services.
This is exactly what Palantir has done through government services, especially the military.
On the income side, I continue follow dividend stocks as yields have climbed above 7% or more for the likes of Altria, Dow and Crown Castle.
There are almost 10 more well Ron companies paying over 6%.
You never want to invest just for the yield but several of these companies could also rise in value giving you a capital gain.
Try to filter out the noise and focus on the essentials going on in the economy.
Nothing is saying it will be all good but the positives outweigh the negatives so far.
I have lived through far worse but that is only a testament to my vintage.
