Funds
Jul 11, 2024
The next big thing for AI will be utilities: Strategist
The AI trade keeps on spinning as Big Tech names continue to defy expectations and show they may have even more room to grow. These AI plays aren't only driving market indexes higher along with hardware demands, but also the need for energy to power this next generation of tech. Hennion & Walsh CIO Kevin Mahn joins Market Domination to give insights into artificial intelligence themes, why it has much more room to grow, and whether investors should start to consider utilities (XLU) as the next long-term play for AI. "No one's looked at utilities for the better part of the last three years as [interest] rates have risen. Guess what happens as rates come down? All of a sudden, that utility that pays 4.5, 5% looks pretty attractive again. And it's also another way to play the AI game, remembering that these data centers that power all of these massive algorithms in AI, they rely upon utilities that supply the electricity solutions that they need." He follows that sentiment up by stating: "So I think there's another good way to play in those areas of the market that still are trading at attractive valuations, pay good dividends, can weather an economic slowdown, and will offer more upside, perhaps even more so than what we've seen from technology already." For more expert insight and the latest market action, click here to watch this full episode of Market Domination. This post was written by Nicholas Jacobino
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Jul 11, 2024
Inflation tips lower, but consumers still feel it: Wealth!
The Consumer Price Index (CPI) for June showed prices decline 0.1% month-over-month. From a year ago, the index rose 3%, the lowest level in 3 years. Summer is making itself known with rising temperatures and balmy weather. What do broader inflationary trends mean for Americans' electric bills? Rachelle Akuffo breaks down which states may see significant increases in their residents' electric utility costs. Costco (COST) announced it will be hiking its membership fees for the first time since 2017. Costco's annual membership will cost $65, effective September 1. Additionally, annual fees for executive memberships in the US and Canada will increase from $120 to $130. Mahoney Asset Management CEO Ken Mahoney joined the show to share his insights on investing strategies in the current market environment as well as give insight into the tech sector and which of the Magnificent Seven need to be in focus for investors. The IRS (Internal Revenue Service) is ramping up its collection enforcement, announcing a "major milestone" of more than $1 billion collected in past-due taxes from American millionaires with over $250,000 in tax debt. According to The US Consumer Price Index (CPI) for June, food-away-from-home (FAFH) was at 4.1%, an increase of 0.4% month-over-month, with alcoholic beverages rising 0.2% month-over-month. F&B Insights VP of strategic partnerships Noah Tracht joined the show to give insight into the rise of food inflation and how its impacting consumers and the broader market. For more expert insight and the latest market action, click here. This post was written by Nicholas Jacobino
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