Talk with Phil Rosen now, longtime friend of the show, chief market strategist at Pro Cap Financial.
My man, thank you for being here today.
Thank you, JD.
As we look, so if you and I were here this time yesterday, we'd be saying wow, another round of all-time highs.
Sell side a little bit louder for the S&P 500, but we're still basically at these all-time highs.
What are a few of the things that you're following, you're seeing investors contend with day to day?
I mean, the whole story is earnings, right?
Earnings continue to be revised higher for the year, and earnings have come in.
Well through the first quarter and if you look at tech stocks and tech earnings, stocks are actually cheaper today than they were 4 or 5 months ago because earnings have been so good and they've crushed expectations so bad.
So that continues to be the jet fuel for markets.
You know, we had a bit of a pullback today, a little bit of slower momentum, but to me there's nothing right now that says, OK, it's time to really start to get cautious.
Speaking of jet fuel though, investors shaking off another round of geopolitical concerns.
Type of things in the 1st and 2nd week of March with regards to the conflict in Iran, including jet fuel and diesel prices, that caused stocks to really pull back.
Investors saying, we've kind of seen this play out before.
Let's focus on earnings instead.
So I looked at the inflation report this morning, 3.8% year over year.
That's a little higher than we expected, but all the investors I've been speaking with and also my personal view is that AI is the new macro.
We're not going to look at the 0.1% difference. on inflation reports and have that change our view on what AI really means, what it's going to do, what the promise of the technology is.
So to me, AI is the macro.
That's why investors have been able to shrug off pretty much every CPI report, all the Fed updates, all the updates in the Middle East and the Iran conflict.
None of that has really derailed the bull market, and I don't see how anything in that calculus is going to change.
We're still a few weeks out from Nvidia earnings, but I wonder how you think about that.
We know out of Mag 7 NVDA tends to be the final of those Mag 7 earnings reports.
We're through most of them and we're not necessarily going to talk about this week or next, but when we get closer to that earnings date, I feel like it's going to be all eyes once again on what happens with Nvidia.
It's pretty much hit or miss on whether Nvidia goes up or down on earnings, but it's almost guaranteed that they destroy earnings.
Like they're going to crush it.
They've been crushing it for several years now, and I would never want to be on the other side of the trade betting.
Nvidia doing well on earnings, and I know there's a lot of people coming out that are calling the top in the AI trade.
They're saying it's a bubble.
They're saying it's another dotcom.
I think that's all bogus.
Nvidia is going to prove that once again this quarter that we have plenty of demand still left in this cycle.
Nvidia, it's, it's so consistently good, it's not even on my radar right now.
All right, Phil Rosen, chief market strategist at Pro Cap Financial, one of our very good friends here on Taking Stock.
My man, come back anytime.
Thank you.
Thank you.
