Anticipating CPI and the Fed's Reaction (1/12/23)

(1/12/23) A positive start to January completes a bullish trifecta for markets, including a modest Santa Claus rally and negative returns for 2022. Anticipation of today's CPI print (clocking in with a 6.5% increase over last year, but a 0.1% decrease from the prior month) sets the stage for the Fed's next move...and markets' response. The Fed wants to see a trend towards 2% inflation. Why a pivot is different from a pause. There are three potential responses by the Fed. What about a "soft landing?" Why would the Fed cut rates if things are "fine?" The two factors of inflation; factors driving commodity prices; where do investors go next? Be prepared for an "audible" call, because 'crazy' happens all the time. Defining "Value:" trading cheap. Where to invest in case of Recession: comparing McDonald's to our 'mystery company' (Amazon); understanding Value & value-traps. The dark side of ETF's. SEG-1: The Financial Trifecta vs What the Fed Wants to See SEG-2: A Pivot is Different from a Pause SEG-3: What About a "Soft Landing?" SEG-4: Where to Invest in Case of Recession? Hosted by RIA Advisors' Chief Investment Strategist Lance Roberts, CIO, w Portfolio Manager, Michael Lebowitz, CFA Produced by Brent Clanton, Executive Producer -------- Watch today's show on our YouTube channel: https://www.youtube.com/watch?v=godP5FLO3sU&list=PLVT8LcWPeAugpcGzM8hHyEP11lE87RYPe&index=1&t=2s -------- Today's installment of our new feature, Before the Bell | "What Today's CPI Print Means," is here: https://www.youtube.com/watch?v=NwSJhlnAXzc&list=PLwNgo56zE4RAbkqxgdj-8GOvjZTp9_Zlz&index=1 -------- Our previous show is here: "How the IRS is Helping You Cope with Inflation" https://www.youtube.com/watch?v=JjaN_zvTl40&list=PLVT8LcWPeAugpcGzM8hHyEP11lE87RYPe&index=2&t=4s -------- Articles mentioned in this podcast: "Three Paths for 2023" https://realinvestmentadvice.com/three-paths-for-2023 "The Lag Effect Of The Fiscal Pig & Economic Python" https://realinvestmentadvice.com/the-lag-effect/ -------- Get more info & commentary: https://realinvestmentadvice.com/newsletter/ -------- SUBSCRIBE to The Real Investment Show here: http://www.youtube.com/c/TheRealInvestmentShow -------- Visit our Site: www.realinvestmentadvice.com Contact Us: 1-855-RIA-PLAN -------- Subscribe to RIA Pro: https://riapro.net/home -------- Connect with us on social: https://twitter.com/RealInvAdvice https://twitter.com/LanceRoberts https://www.facebook.com/RealInvestmentAdvice/ https://www.linkedin.com/in/realinvestmentadvice/ #InvestingAdvice #CPI #Inflation #FederalReserve #Recession #Markets #Money #Investing