Hi Everyone
Today we were confronted with a down market which according to the media is a result of the new govt actions (particularly the defense dept) to reducing spending. In particular PLTR (which for us involves PLTY) and AI (AIYY) were singled out by the news and PLTR dropped 12%!!!
Is this another fake news effort to deliberately drive prices down to manipulate the market? Lets see. DOGE stands for Department of Government Efficiency. Do media people and their customers, the American People really believe that amidst the cost cutting efforts, the efficiency experts are so stupid as to cut back on the very tools that enable government departments to run more efficiently and produce better work products. For example, check out Palantir and C3AI. From a business point of view, do you think Musk and his team consider these things LIABILITIES or ASSETS?????
Obviously the fake news analysts are not as smart as the DOGE folks, but the assumptions they publish have already had a negative effect of the market, especially on the two stocks we follow PLTY and AIYY although we are still ahead on PLTY. Our first instinct might be to panic with the herd, but what are smart people doing? On a positive note the panicky people are moving money into gold, silver and oil today which, thank you very much, should help our dividends on GDXY, SLVO and USOI.
Instead of selling with the herd mentality, the price erosion over the next few days might offer us a great time to add to our positions and average down our costs lower cost<=> higher yields. Remember, the house usually wins and always controls the deck, ———- and most of our investments own the house.
Regards,
Clint