Latest / Financial Survival Network / Jobs Up, Debt Rising, AI Disrupts - Patrick Mueller #6334

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Jobs Up, Debt Rising, AI Disrupts - Patrick Mueller #6334 · Financial Survival Network

• 0:00
  Speaker 1: One of the things that's crazy that nobody's really talking
• 0:03
  Speaker 1: about is a huge amount of credit, that credit card
• 0:06
  Speaker 1: debt that people have right now. It's at all time
• 0:08
  Speaker 1: pise and you have companies like door Dash that are
• 0:11
  Speaker 1: starting to finance their food purchases and people combating inflation
• 0:16
  Speaker 1: with financing their food and its crazy. And at a
• 0:19
  Speaker 1: certain point in time, I mean this, this bubble is
• 0:21
  Speaker 1: gonna pop.
• 0:22
  Speaker 2: You're listening to Carrie Letz's Financial Survival Network, where you
• 0:26
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• 0:30
  Speaker 2: thrive in today's trying times. You need the Financial Survival
• 0:34
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• 0:39
  Speaker 2: com and get your free newsletter and gift. Financial Survival
• 0:43
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• 0:50
  Speaker 3: And welcome you are listening to and watching the Financial
• 0:54
  Speaker 3: Survival Network. I'm your host, Carrie lets Hey, we're just
• 0:57
  Speaker 3: here on October second. We got some job numbers out.
• 1:02
  Speaker 3: We've got some economic numbers out. Patrick Muller is with
• 1:06
  Speaker 3: us now Bella Advisors. Great to have you on the show. Patrick,
• 1:11
  Speaker 3: so well. Interestingly enough, we got we got some job
• 1:16
  Speaker 3: numbers in. They're not looking real good, but that means
• 1:21
  Speaker 3: the FED will be more likely to cut, doesn't.
• 1:24
  Speaker 4: It sure does. Yeah the fat Yeah.
• 1:27
  Speaker 1: I think they're gonna stick with what they've been talking
• 1:29
  Speaker 1: about pretty much since since late last year when they
• 1:32
  Speaker 1: were gonna slow roll things out but save the cuts
• 1:36
  Speaker 1: still the end of this year. So I think we
• 1:37
  Speaker 1: can we can see that that coming out. We're not
• 1:39
  Speaker 1: seeing any signs at the moment of that changing. So
• 1:43
  Speaker 1: this job's reported is you know, uh, pretty much a nothing.
• 1:48
  Speaker 4: Burger, right.
• 1:49
  Speaker 1: I think it's you know, not a whole lot of positive,
• 1:52
  Speaker 1: not a whole lot of negative. That's it's, you know,
• 1:55
  Speaker 1: I don't think it has anything to do with what's
• 1:58
  Speaker 1: what's to come down the road in the future.
• 2:00
  Speaker 3: All right, So looking at the big picture mac grow
• 2:03
  Speaker 3: view here. Patrick, you know, how do you interpret the
• 2:07
  Speaker 3: recent swings in GDP? We went from negative in Q
• 2:10
  Speaker 3: one to nearly four percent in Q two. Is that
• 2:14
  Speaker 3: just a seasonal thing or is it indicative of a
• 2:19
  Speaker 3: deeper economic trend.
• 2:21
  Speaker 1: I think it's going to be a deeper trend with
• 2:24
  Speaker 1: all the positive pro America moves that are happening right now,
• 2:28
  Speaker 1: you know, with wanting to produce, like one of the
• 2:31
  Speaker 1: job sectors that we saw that was bumping up was
• 2:33
  Speaker 1: natural resources. So with opening up oil and energy back
• 2:37
  Speaker 1: into the country, you're seeing a lot of jobs coming
• 2:40
  Speaker 1: in from outside of the countries. We go like Hundani
• 2:43
  Speaker 1: bringing over their business over to the stage. You've got
• 2:46
  Speaker 1: Apple Mickey big moves here, You've got ge moving there,
• 2:50
  Speaker 1: China operations back to the US to Kentucky, and I
• 2:54
  Speaker 1: think we're going to see more of that.
• 2:55
  Speaker 4: And I think one of the biggest.
• 2:56
  Speaker 1: Things, Carrie is with the trade negotiations that had been
• 3:00
  Speaker 1: going on, the big things that nobody's really talking about
• 3:04
  Speaker 1: is us being able to trade into other countries that
• 3:06
  Speaker 1: we really have been blocked out of. And I think
• 3:09
  Speaker 1: long term that's really going to help the GDP, help
• 3:13
  Speaker 1: the country grow, and long term, I think it's going
• 3:16
  Speaker 1: to be awesome.
• 3:16
  Speaker 3: Me all right, well, it's nice to hear somebody who's
• 3:19
  Speaker 3: optimistic about things.
• 3:21
  Speaker 5: You know.
• 3:21
  Speaker 3: I took a recent trip to our nation's capital, and
• 3:27
  Speaker 3: you know, there's a story there that's.
• 3:29
  Speaker 5: Not being told.
• 3:31
  Speaker 3: Obviously, troops marching in crime is way down, the cleanliness
• 3:36
  Speaker 3: of the city is way way up. But there's also
• 3:41
  Speaker 3: a rebuilding of sorts taking place. I think I saw
• 3:45
  Speaker 3: seven or eight, maybe nine major federal buildings go undergoing
• 3:52
  Speaker 3: exterior restorations. I didn't even know what's going on inside.
• 3:56
  Speaker 3: And the whole Capitol Hill complex is being spiffed up.
• 4:01
  Speaker 3: The US Supreme Court totally redoing the facade because all
• 4:06
  Speaker 3: these buildings are made of marble, and where they're faced
• 4:10
  Speaker 3: with marble, the facades are and the marble deteriorates from
• 4:15
  Speaker 3: the pollution over time. So maybe there's a deeper, deeper
• 4:22
  Speaker 3: restoration of America taking place here.
• 4:25
  Speaker 4: Well, we sure hope.
• 4:26
  Speaker 1: So, yeah, you got and you got the Federal Reserve building, right,
• 4:29
  Speaker 1: the three billion dollars.
• 4:31
  Speaker 5: You're wasteful, and that was SMA.
• 4:35
  Speaker 4: Working with more government ways, do you know?
• 4:37
  Speaker 3: Yeah, well they just print the money up to pay
• 4:39
  Speaker 3: for it anyway, So what difference does it make. I
• 4:42
  Speaker 3: wasn't even referring to the Eccles building, but I guess
• 4:45
  Speaker 3: that fits into the plan as well. Three billion dollars.
• 4:49
  Speaker 3: But you know, we do have a master builder in
• 4:53
  Speaker 3: the White House and this is right up his alley
• 4:57
  Speaker 3: to improve structures.
• 5:00
  Speaker 5: You know, he's been doing it his whole life.
• 5:02
  Speaker 3: So looking at it, consumers spending, you know, consumers under
• 5:07
  Speaker 3: pressure debt. These interest rate cuts will have zero effect
• 5:10
  Speaker 3: on consumer spending.
• 5:13
  Speaker 5: What are you seeing there?
• 5:14
  Speaker 1: Well, I think you know, it's going to be good.
• 5:16
  Speaker 1: See that the rate cuts come. I mean, I think
• 5:18
  Speaker 1: that's going to help eventually help bring out interest rates
• 5:20
  Speaker 1: and help the home market. We're starting to see homes
• 5:24
  Speaker 1: starting to pile up out there and listings, and I think,
• 5:30
  Speaker 1: I think long term, you're bringing the.
• 5:32
  Speaker 4: Interest right down is just going to be a good move.
• 5:34
  Speaker 1: And it's interesting that you say that I'm not going
• 5:37
  Speaker 1: to have too much of an effect on retail spending.
• 5:40
  Speaker 1: But one of the things that's crazy that nobody's really
• 5:44
  Speaker 1: talking about is a huge amount of credit debt, that
• 5:47
  Speaker 1: credit card debt that people.
• 5:48
  Speaker 4: Have right now.
• 5:49
  Speaker 1: It's an all time gise and you have companies like
• 5:51
  Speaker 1: door Dash that are starting to finance their food purchases
• 5:55
  Speaker 1: and people come adding inflation with with financing their food
• 5:59
  Speaker 1: and crazy, and at a certain point in time, I mean,
• 6:02
  Speaker 1: this this bubble is gonna pop. Yes, you know, sometimes
• 6:06
  Speaker 1: I'm not sure exactly how that's gonna plan out, but
• 6:10
  Speaker 1: we work itself out. But it's gonna be really interesting
• 6:13
  Speaker 1: to see how that affects things. But nobody's really talking
• 6:16
  Speaker 1: about that, and people are hurting much more than I
• 6:19
  Speaker 1: think people.
• 6:20
  Speaker 3: Realize agreed to inflation. You know, we know the measures
• 6:25
  Speaker 3: are grossly understated, and it's kind of if we were
• 6:33
  Speaker 3: measuring inflation by the nineteen eighties indicators, it'd be far,
• 6:38
  Speaker 3: far greater than it is today. So the loss of
• 6:44
  Speaker 3: purchasing power in the dollar in their savings, you know,
• 6:49
  Speaker 3: maybe hasn't been that much offset by the increase in
• 6:53
  Speaker 3: the value of their homes.
• 6:55
  Speaker 5: And as well as your salary.
• 6:58
  Speaker 3: Increases that you've received.
• 7:00
  Speaker 1: Well, yeah, you're definitely not seeing that keeping up right.
• 7:03
  Speaker 1: I mean, the price of everything over the last four
• 7:05
  Speaker 1: or five years is seriously doubled. And it seriously seems
• 7:09
  Speaker 1: like it was not that long ago, Carrie, that I
• 7:11
  Speaker 1: was spending one hundred bucks and filling up the trunk
• 7:14
  Speaker 1: of my car with groceries. And now it's seriously I'm
• 7:16
  Speaker 1: walking out with two bags or we got four dogs,
• 7:19
  Speaker 1: one big bag of dogs.
• 7:20
  Speaker 4: Were pretty much knocks out a hundred bucks right now.
• 7:22
  Speaker 5: Yeah, yeah, it's it's crazy.
• 7:24
  Speaker 3: And God forbid to go to a place like holier
• 7:27
  Speaker 3: than the foods and you walk out with a with
• 7:30
  Speaker 3: a little lunch bag there or one hundred bucks.
• 7:33
  Speaker 4: Right now, whole paycheck.
• 7:35
  Speaker 5: I'm good.
• 7:36
  Speaker 3: Well, actually they changed the name. It's now called Whole
• 7:38
  Speaker 3: Life Savings. But so obviously rates are coming down, inflation
• 7:45
  Speaker 3: isn't going anywhere, probably going to get worse before it
• 7:48
  Speaker 3: gets better. And this has effects not just in the US,
• 7:53
  Speaker 3: but in the entire.
• 7:54
  Speaker 1: World right absolutely absolutely, I mean, and you're seeing it
• 7:58
  Speaker 1: all over the world right now, and you're you're seeing
• 8:00
  Speaker 1: a lot of people struggling all over the place right
• 8:03
  Speaker 1: in their economies right in Japan and China and Europe,
• 8:07
  Speaker 1: and it's it's really affecting everybody overall. That it's it's interesting,
• 8:13
  Speaker 1: you know as far as what you know, what do
• 8:15
  Speaker 1: people need to do at this stage right to be
• 8:18
  Speaker 1: able to get away to increase because you've got a
• 8:20
  Speaker 1: lot of things that are starting to shriek the markets
• 8:22
  Speaker 1: right now that we're starting to see, especially in the
• 8:24
  Speaker 1: tech sector with ai AI Becaueen were prominent and eliminating
• 8:30
  Speaker 1: a lot of jobs. You know, it could be you know, paralabels,
• 8:33
  Speaker 1: it could be computer programmers, right and uh, you know,
• 8:37
  Speaker 1: and so you're starting to see these tech companies that
• 8:39
  Speaker 1: are not hurting, they're you know, you've got great, great
• 8:41
  Speaker 1: profits yet, but they're cutting workforce and uh, it's going
• 8:45
  Speaker 1: to be interesting to see how that plays out in
• 8:47
  Speaker 1: the different industries that are going to start coming up,
• 8:52
  Speaker 1: like you have like roopers and plumbers and things like
• 8:55
  Speaker 1: that aren't going to go away, but you're going to
• 8:57
  Speaker 1: start seeing the salaries of those workers going up exponentially
• 9:01
  Speaker 1: because you've got so many skilled labor that it's leaving
• 9:05
  Speaker 1: where I getting older and a lot of people that
• 9:07
  Speaker 1: are getting that. So I was like, for every seven
• 9:09
  Speaker 1: people are leaving, we got three coming in. And so
• 9:12
  Speaker 1: that'll be an interesting trend to see play out over
• 9:15
  Speaker 1: the next few years.
• 9:17
  Speaker 5: Sure. And yeah, well I think there is.
• 9:21
  Speaker 3: A trend going back to trade. So I mean President
• 9:27
  Speaker 3: Trump just did a settlement with Harvard where Harvard's going
• 9:32
  Speaker 3: to be opening trade schools. I had to read that
• 9:34
  Speaker 3: headline twice Patrick, because I just didn't believe what I
• 9:38
  Speaker 3: was seeing.
• 9:40
  Speaker 1: But I think we're going to see more of that
• 9:42
  Speaker 1: because people are going to have to with all the
• 9:45
  Speaker 1: advancements in AI. So it's gonna be it's gonna be
• 9:47
  Speaker 1: really interesting that that those job shifts happening and just
• 9:51
  Speaker 1: how many industries are going to be cut and and
• 9:55
  Speaker 1: just everything's gonna be revamped. So everybody is either jumping
• 9:58
  Speaker 1: on that train now and or they could be in
• 10:01
  Speaker 1: for a world or heard. I think in a few
• 10:03
  Speaker 1: years of people are paying attention to what's happening right now.
• 10:07
  Speaker 5: Agreed, Agreed.
• 10:08
  Speaker 3: So, hey, when we have this conversation in a year,
• 10:12
  Speaker 3: what do you think things are going to look like.
• 10:15
  Speaker 4: I think things are going to look a lot better.
• 10:17
  Speaker 1: I think we're going to definitely see some with all
• 10:20
  Speaker 1: of the tariffs coming through, and we got a lot
• 10:23
  Speaker 1: of revenue coming in, but we're going to start seeing
• 10:24
  Speaker 1: that affecting the pricing on things. I think that's going
• 10:27
  Speaker 1: to end up driving the markets down over the next year.
• 10:31
  Speaker 1: But long term, next year, I think I think we're
• 10:33
  Speaker 1: going to be moving strong. I think the country is
• 10:36
  Speaker 1: going to be moving in a very strong direction. But
• 10:39
  Speaker 1: as far as the outlook for people, when it when
• 10:41
  Speaker 1: it comes to jobs, they should really be thinking about
• 10:45
  Speaker 1: how do they embrace AI and make that a part
• 10:48
  Speaker 1: of their lives and getting on that train or like
• 10:52
  Speaker 1: you were talking about maybe going to Harvard and getting
• 10:55
  Speaker 1: an education for skilled trade.
• 10:59
  Speaker 5: I I did a double take on that.
• 11:01
  Speaker 3: So that was funny, all right, Patrick, Well, I think
• 11:05
  Speaker 3: it's interesting times ahead. We're definitely living through interesting times.
• 11:09
  Speaker 3: As the old Chinese curse goes. Just tell us where
• 11:13
  Speaker 3: we find you and how we can connect with you
• 11:16
  Speaker 3: on the web.
• 11:17
  Speaker 1: Absolutely, you can go to Bella Advisors dot com and
• 11:20
  Speaker 1: you can find.
• 11:20
  Speaker 5: Us there all right.
• 11:22
  Speaker 3: Excellent links in the show notes to this interview on
• 11:24
  Speaker 3: Financial Survival Network dot com. Case you hadn't noticed, we've
• 11:28
  Speaker 3: switched to substack. It's so much more efficient. I don't
• 11:32
  Speaker 3: have to worry about running a website anymore, and I
• 11:35
  Speaker 3: think the amount of material that we have the ability
• 11:39
  Speaker 3: to reach you to send you timely articles is so
• 11:43
  Speaker 3: much better than what we had before.
• 11:45
  Speaker 5: Patrick. Appreciate you coming on. We'll talk to you again
• 11:48
  Speaker 5: real soon.
• 11:48
  Speaker 2: Thanks Garry, thanks for listening to carry Letz's Financial Survival
• 11:53
  Speaker 2: Network your solution to today's trying times. For the latest,
• 11:57
  Speaker 2: go to Financial Survivalnetwork dot com. Financial Survival Network now
• 12:03
  Speaker 2: more than ever