Categories: General Market Commentary- DPC
Topics: General Market Commentary- DPC

Economic Uncertainty Heading Into April

Since last week: 

Consumer spending is down. People are getting more cautious about the economy. This, on top of sentiment surrounding recent bank failures, may be painting a picture of where we’re heading. 

1. The Jobs Are Still There

Unemployment benefit filings rose slightly, but are still at historic lows. That means the jobs market is still strong, much to Chairman Powell’s chagrin and despite his best efforts. This continued trend of a strong labor market could mean inflation is sticking around for a little while longer, so you will need to invest accordingly for this new normal. 

2. An American Problem

The tragedy of mass shootings in the US has reached a point where the country is averaging one per day. It’s one of the reasons why the security sector is set to bring in $68 billion per year. One company, using advanced AI technology, is looking to put a stop to these tragedies before they can even start. 

3. EV Sales Continue Growing

In February, EVs accounted for 8.5% of all car sales in America. This is a record high and triple what it was just two years ago. EVs are quickly becoming the norm, and the trend isn’t going to reverse. Car companies are going to need lithium to keep up, and investors who buy lithium miners will be positioned to do very well because of it. 

4. A Crypto Lawsuit

It’s Binance vs the Commodity Futures Trading Commission, or CFTC. The latter has accused the former of conducting business without registering with it and did nothing to report suspicious activity to the commission. This rippled out into the crypto sector, taking down the prices of many coins. Whatever happens with the lawsuit, this could be a big moment in regulating the crypto sector. If that happens, you’ll need to know just which coins to buy. 

What to Look For:

Donald Trump’s indictment is sure to dominate the news cycle this coming week. For many, he is the face of the Republican party, and this could disrupt already tense negotiations between the parties related to the debt ceiling.

Ryan Stancil
Editor, Daily Profit Cycle