Breaking Bad Advice

Recent market volatility has a lot of people concerned and pundits scratching their heads looking for an explanation. In this episode Joel and Isaac work through some of the prominent narratives surrounding the recent stock market selloffs all around the globe while trying to sift fact from fiction. They discuss deteriorating economic data here at home and the recent surge in conversations about the so-called “Yen carry trade”. Interested in how Godzilla can affect US stocks? Tune in to find out!

In this episode of Breaking Bad Advice, Isaac and Joel dive into the messy reality behind the US economy's numbers. Despite upbeat headlines and the stock market continuing up to all-time highs, GDP is consistently getting revised downward, payroll numbers are in a perpetual slump, and every month brings more downward revisions. We unravel the story behind these stats, exposing the real struggles many Americans face. Is the US economy as rosy as the data suggests or is there more to the story? 

Sustainability is all the rage these days. Sustainable agriculture, sustainable energy, sustainable clothing… but what about sustainable stock prices? On this episode of Breaking Bad Advice, Isaac and Joel delve into the sustainability of today’s stock indices, specifically dealing with the S&P 500. With much of the market over the last year driven by the Magnificent 7, are narratives enough to sustainably push the S&P 500 higher from here? Tune in as they discuss fundamental drivers for future economic growth and whether that even matters anymore.

Once again, the financial headlines seem to be dominated by prophecies of the immediate and tragic demise of the US Dollar. Are the rumors true? Is King Dollar dead? While we certainly wouldn’t be in the camp that shouts “Long Live The King!”, we do think its death has been greatly exaggerated. In this episode, Isaac and Joel unwind the various narratives suggesting the dollar will go the way of Kodak and explain why certain economic realities present a different picture.

In this episode, Isaac and Joel examine the signs that indicate a bumpy road ahead instead of the gentle descent the Fed dreams of. From slowing consumer prices to plummeting producer prices, our leading indicators are sending distress signals louder than a foghorn in a pea-soup fog. As banks begin to tighten and the global economy trembles, it's time to face the truth: the Fed's soft-landing fantasy might just crash and burn. 

The return on investment for a college degree just isn’t what it used to be. Tuition has been increasing at exorbitant rates for decades with no end in sight. At the same time, the lack of comparable wage growth over the same period has left many individuals and families relying on student loans as the only viable way of obtaining that coveted degree. Why is the cost of tuition always increasing? How should young parents or high school graduates determine whether the college route is “worth it”? What are the best vehicles for successfully navigating that journey? Well listen in to this week’s podcast as Joel and Isaac reveal a roadmap to help you answer these questions and more!

Recent headlines were dominated by the failures of some large banks, both in the US and abroad. Many commentators have suggested that these banks were poorly managed, or that the Federal Reserve’s rapid interest rate increase is to blame. While these factors certainly contributed, the reality is that all modern banks have much deeper problem. They only hold on to a small amount of the funds they promise clients they always have on demand. This is the magic of fractional reserve banking. In this episode of Breaking Bad Advice, Isaac and Joel discuss the foundational problem with fractional reserve banking, the role it played in leading to a chaotic run on Silicon Valley Bank (SVB), and what this means for the banking system and the economy going forward. Is the crisis over? Or has it just begun?

With ongoing uncertainty and volatility in the global economy and markets, the Federal Reserve looks to guide the US economy into the Promise Land of a “soft-landing”. The Fed believes that by increasing short-term interest rates, they will be able to lower inflation without compromising growth. 

On this episode of Breaking Bad Advice, Isaac and Joel question the Fed’s outlook, and point to data suggesting our destination may entail a bumpier experience. Will Jay Powell and the Federal Reserve be able to slap a band-aid on our economic wounds, or will only major surgery fix what ails this economy? Tune in to find out why the answer is the latter, and why that may not be such bad news after all!

“To know is always better, no matter what the answer might be.” Max Brooks, World War Z
Zombie hoards exist everywhere in the corporate world, consuming capital and destroying the bedrock foundation of a healthy economy. Unlike the movies, however, these zombies don’t have matted hair with a facial expression like a feline on catnip. They often look quite healthy…on the outside. But that just makes them even more dangerous.

In this episode of Breaking Bad Advice, Isaac and Joel dive into zombie corporations; what they are, how they got here, and what catalyst may finally decapitate these blood (money) thirsty companies.