Hey everyone welcome back to another market, closing live stream well well! Well, we've got quite a bit of euphoria in the stock market right now and the question now is: will it last and when are we going to see another potential negative catalyst in this market? Take a look at some of the details of what's going on in the market. Today, we've got the dow jones up 1.1 smp on 0.72 nasdaq actually lagging, and the nasdaq has been leading the last three days in the technology sector. Uh, usually, the nasdaq has been well outperforming the dow jones. In fact, we even closed some days this week, where we had essentially the nasdaq closing at uh uh, well significant uh higher numbers like one one and a half percent, but uh the dow jones potentially closing flat uh.

Then you've had the uh russell 2000 uh that uh has sort of had mixed days sort of depended on uh on what's uh what's been going on, particularly in the market, especially when it came to uh airlines uh showing a lot of distress, but then potentially our Travel ban getting lifted, uh, which it does appear to be that the travel ban is getting lifted at the moment for uh flights coming into the united states for vaccinated individuals from places like europe, uh, india and other countries, uh so uh. At the same time, we've got bonds uh like the u.s 10-year treasury, up to 1.577 again. This is up about 0.6, so from earlier today and yesterday, a little bit of a move up here on more retail spending than expected oil. Almost at that 85 for brent and uh worth noting here that michael bury told cnbc that he is not shorting crypto but does believe that crypto is in a bubble worth taking a brief look here at uh crypto we've got crypto, including bitcoin, at a new high.

Here, 61 406. Recent high: it's not an all-time high, got ethereum sitting at 38.53 and cardano at 222.. It's really uh bitcoin playing a lot of catch up here, given that cardano and ethereum have had some nice runs here, uh all right. So, let's take a look at what we've got in some stocks right now, let's take a an exploratory look 23 and me at 18.58, hud, 8 mining, 16 x being 8.33 here, the chinese auto is doing well.

You got byd up almost four percent lee auto four percent neo three point: five percent and uh x ping up eight point: three: four: nice nice moves by these companies here interesting also to see that coin base. Finally, moving of six point: eight eight percent - this has been a lagger uh in the space. It's it's been a little bit of a painful one to watch coinbase, especially as we wait for their revenue to transition from more uh transaction based to service based, and that would be like hey instead of charging you so much for me like buying cryptocurrencies. Now we're going to make money off of offering you other services like loans or margin or whatever else brewery party boobery, okay, so uh faraday futures up 6.6, a lot of enthusiasm in the energy stocks.

Right now, we've got uh tesla. Let's take a look here: tesla tesla, tesla, wow, tesla up 2.54 right now closing at a pretty recent high here, and this is up. 2.54 almost 840 really feels like it's hitting a resistance there at 8 40.. Look at this channel folks that we have been in on tesla.

We've been riding this channel since may 12th may 12th. The bottom over here these were some shopping opportunities in that 550 range, i went shopping them. I have not bought anything tesla related, except for a call option about a week ago. Obviously, that call is doing pretty decently right now, uh, sometimes in the short term.

They don't, though the short term calls can go either way and you hope to be directionally right. Closer to uh xp, but uh yeah, this has been uh pretty incredible. We don't really have any technical analysis to do here, other than the fact that we uh we might be visiting here very soon, all-time highs, which we do have a potential ceiling at about 8.85. Almost a triple touch here at that 880 to 885 level, i'm gon na go ahead and put a little marker for uh 880 and we're gon na make this a i'm gon na make this a little bit of a softer marker.

There we go purple uh and then, of course we had our all-time intraday high of 900 uh. Actually, i'm pretty sure we went higher than that. At one point i feel like we went to like 904 at one point, but for some reason weeble's only showing 904 or 900.4, but anyway uh very nice trend, straight solid trend up and the trend has been accelerating, which is worth noticing over here. The trend that we had for tesla was a lot softer here coming out of may going into june.

The trend moving over into uh the sort of uh july to september range it's a slightly higher degree than what we've seen in may or what we had seen in may and now we've uh we've exceeded that trend again. In fact, if we go ahead and draw another trend line here, let's go ahead and grab there we go yeah. We could see the uh. You could see the change in the slope here pretty substantially so we'll see if it lasts.

Tesla has this tendency of doing these 21 day runs and it'll be very fascinating to see if we end up consistent with uh with a nice 21 day run we'll see so far. If we go to the normal candlesticks, i mean we've just been on a straight up trend. Here, it's really been a minute. Since we've had a gap down, we did have a gap down over here: um weeble's, not showing it right now: okay, making a little bit harder for us, weeble.

Ah, whatever all right i'll go back to the average candlesticks, it doesn't matter so much, but anyway, we'll keep an eye on this er kind of exciting, because if we get to 900 or a thousand, it might be an opportunity to start getting rid of some call Options, finally, especially since uh call, options have been bleeding as a result of a crushed volatility for the stock. I wonder if volatility is finally going up for tesla, let's take a look at that: let's go tesla and do an hvg here, historic volatility graph, and we are we've bounced off of some of the lows right now we're at about 16.7 in terms of volatility. That's definitely a low out of the last 100 day, average 100-day average of volatility about 31., but we've bounced off the low of about 12 for historic volatility on tesla good. So what else have we here? Uh yeah honey? It's just doing phenomenally i've got a video coming out about the miners.

I think it's coming out at like 3 45 or something like that. So stay tuned for that uh. Let's see here, okay, oopsies there we go all right. Let's take a look at matterport for a moment.

Got 20 minutes to the closing bell. So matterport down, we've got a 50-day moving average over here 200-day moving average. Our red line. We don't even have 200 days yet because uh apparently hasn't been public for 200 years.

Is that true, it's been less than 200 days? Why do i not feel like? I believe that that would be about a little bit over six months february. 8. 6. Oh, so, any day now we should be getting our 200-day moving average fascinating, anywho uh, all right! So matterport rotating down about 2.3 percent looks like some of the specs and higher valuation.

Companies are having a little bit of a rougher move here. Although then you've also got bad guidance by corsair and so they're kind of flat, where they were on the day. But a higher evaluation company like lemonade rotating down, interesting that you've also got walgreens and rite aid moving down because they smashed it on much more coveted vaccination sales or related sales than than expected matterport at 1879 redfin dropping about 1.9 here spirit air. So you got a little bit of a u-turn here beyond meat airlines, a farm is actually down about 1.3, so fine 1.12.

I mean they can't go up every day. Yeah wayfair, wow wayfair started the day green and is now negative about 0.92. I wonder how the spine is doing: cspy, um, okay, so spy on the day. It's it's certainly had a nice trend up uh throughout the day.

So i'd say the s p has done well, but it's really only moved about a quarter of a percent net to the upside hud 8. Really just taken the uh, the attendees today macy's up here as well. So the airlines - oh well, that's probably because of retail sales, retail sales numbers, especially brick and mortar retail sales compared to online sales, doing very well so that that makes sense that you've got macy's. Moving on that kind of news here actually makes a lot of sense.

Goldman sachs killing it up almost four percent. It's big for something like a goldman sachs tesla keeps going 2.64. It's it's pennies away! Now from 840., it's just lit. Oh there we go 840.

8.40 on tesla. Congratulations to those of you in tesla, uh! Okay! Yes, so i was wrong: corsair did not report earnings, they just gave uh an uh, they did an 8k and they reported new guidance that basically forecasted lower earnings. Coming like they basically said their q3 earnings were way low. There's no earnings call, i mean they were expected to do like 480 mil they did like 390 mail.

So you had a pretty sizable like 20 miss on revenue and because the miss was so large they're like let's just get the bad news out of the way before earnings, and so that's uh, that's essentially what they did. So there was no earnings call for me to look at. I mean i wholly expect them to just you know, complain about uh shipping shortages, so uh we're in the midst we're in the thick of it into the thick of it yeah. You know just like that.

One we're in it whoa virgin galactic plummeting throughout the day. Here i mean we opened up painfully, but it's just gotten worse and worse and worse down almost 17 today and occugen, really giving up a lot of that hopium that it had on news that india was pushing that covax and kova drug or vaccine kovacin is their Covet vaccine for approval, so okay, united wholesale, is up four percent today. Why united wholesale never goes up new wmc? Well, while i pull that up, i want to hear this how to play housing last decade, but particularly as well over the pandemic and whether we might see a long-term pickup in the number of transactions and how readily people change their home in future decades. Compared to past decades, as the cost of transacting falls and the kind of tech enablization of being able to view houses a long way away without necessarily having to visit them, you know i i respectfully disagree with.

I don't think it's different this time. I think that it's all driven by free money - and i think right now we're at a big party and everybody's getting wasted and they're enjoying the the fact that rates are so low and everybody can buy a second home. Why not you know more mortgage rates? You buy a chew handle on a mortgage rate. You can absolutely afford to get another home.

So there's a lot of dual dwellings. The united states are people with three homes. They have vacation homes, they have rental homes that they're getting a nice cash on cash return. But when you start seeing rates rise, that will change significantly and will disincentivize people to move.

Remember what happened in 18. Not that long ago, when mortgage rates went from 4 to 5, the housing market came to a screeching halt, so i don't think the technology-enabled liquidity that's being provided is going to really change that dynamic. I think that mobility is going to be very negatively impacted by the tremendous refi boom that will disincentivize homeowners in the united states to move except i just want to zero. Oh go ahead.

Tell me to cut you off. We always we always talk about. There's always going to be transactions. You know realtors like to talk about the three ds, death, divorce and defaults.

The fourth d that happens in a non sort of uh recessionary period would be this discretionary cell, and then you also have we jokingly called the diaper cells family formation people need more space, but i think that we have to recognize that mobility is very much impacted On discretionary purchases slowing if mortgage rates start rising, so that's what i wanted to ask about the demographic question since you brought that up about the aging population, because i feel like there's a little bit of a consensus right now among the bulls on the home builders. In the housing market that millennials are aging they're going to buy homes, it's a huge cohort and it's going to keep this sort of pandemic fuel buying going for many years to come. Do you dispute that? Well, i think we have to appreciate that home ownership actually troughed in early 16 and homeownership rates have been accelerating, which has been really fueled by millennials. But when you look at the decennial census numbers that came out earlier this year, we actually are seeing the young adults between the ages of 20, 39, increasingly living at home with their parents, and those numbers we had expected would have now at least come down, because The great financial crisis when they rose it made sense to us because we had such a high level of unemployment.

But when you fast forward to 2020 and look what happened, we actually saw those numbers increase from call it 20 in 2010 to nearly 24 in 2020.. So we see a lot more multi-generational living and we think some of that can be displayed in sahara by people that are unable to afford or delaying marriage or just the the change in the dynamics of our population. With you know, today, the the caucasians are actually becoming more of a minority, and many other ethnicities live in a multi-generational way like we see in europe. So we don't think that millennials will continue to fuel the demand, because we also believe that a lot of that has already been realized.

So you know you think about the millennials today, the oldest in the you know, call it 40 range right now. I think that you have to appreciate that a lot of those people have been in the market and we saw that start to really expand when builders started building out the tertiary markets when they go out in the third ring of the market. We've been seeing growth for the last five years and i think that we're starting to see that peak out, but the growth that you're seeing right now is really driven by the incremental demand. That's coming from non-primary buyers on top of primary buyers, ivy zellman love.

All the contrarian calls thank you so much for joining us. It's good to talk to you have a great weekend. Thank you, too. That was really interesting.

Bearish bearish yeah on the demographics on the over supply nobody's talking about an oversupply. I know not yet maybe they will be i'll, just tell them up. Next bitcoin hits its highest level since april, and goldman posted her yeah. She she's not happy she's, not happy at all uh.

I i mean i don't know what to say. I think i'm gon na have to probably do a longer form reaction to that one. Uh hey! You know what i respect. People, though, for putting out their bearish opinion on real estate and, quite frankly, uh.

You know real estate's been on this crazy run. You can't blame somebody for saying that it's time for real estate to have a correction, okay, you can't blame somebody for that at all all right, so um, i did by the way, just open up a couple of options. Trades, i'm going to send that alert to all those of you in the stock psychology money group right now, uh sold this put and bought this call with the premium with uh. I can't type today with the premium uh sold this put and bought this call with this premium.

All right, cool, it's gon na be interesting, we'll see how that goes anyway, uh yeah! So anytime, you want all my alerts, stocks and psychology money link down below just post that in the short term trade section, so uh, let's see what else is going on here in the market. Now that we heard a big old real estate rant: okay uh. So that's four option contracts. I did today boy that's more than usual anyway, uh coinbase, wow coinbase is up eight percent right now.

It's actually coinbase looks like it's rallying into the closer it is. Coinbase is rallying into the close right now. Oh, my gosh wells fargo is up six, almost seven percent. That's unheard of that's crazy! Neo! Almost now 40, that's crazy uh! I threw like 500k into them uh.

What like two weeks ago or something like that anyway, uh tesla wait. I just saw tesla here. It looked like it was moving more oh wow tesla's now, 8 42.. Oh my gosh, it's crazy, wow, wow uh! I like the thing is i keep asking myself.

Will this in euphoria last and uh, i'm looking for negative catalysts because i want to be prepared to start like selling? If i need to you know: uh yeah, so um, let's see here, okay, so anyway, then roblox has moved up again. This was this went down to almost 70 bucks. Not that long ago we watched yeah yeah, look at that. It went down to 69.77 on roblox.

I was watching this because it was getting back to i was. I was really hoping it would go down to the 65-ish range where we've had previous support levels, didn't quite make it down that far didn't quite make it um all right. So then, we've got uh. Let's see here, blue apron, dominoes dominoes getting smoked here going into the clothes hold on a sec, dominoes bpz see what's going on.

If there's any particular news. Uh, let's see here. Oh congratulations, dext, who says pretty much paid for my course. Fee nice, uh, ada, trades, firm, dave and buster's nice, i'm happy for you, so domino's domino's target cut as stevens flags threat from lack of staff.

Oh wow, domino's pizza, ceo, says: u.s needs more immigration to address nationwide worker shortage, whoa uh. That's that's interesting! Uh i mean that's uh, so domino's moving down about four ish percent on this hold on a sec i want to. I want to make a note to do some more research on that um cool uh-huh. I'm gon na keep an eye on that all right.

So, let's see what else, what else, what else what's losing today so corsair, we know, is down eight percent that was yesterday virgin galactic down uh on at the delay of their commercial flight, the covax and vaccine not being super exciting smile, direct continuing to go down A lot of the smaller riskier specs still moving, i'm shocked that dave and busters keep smoothing down. I don't own any dave and busters. I've played options on this thing very well uh, but thank you dave and busters yeah and i used to own a lot of shares at dave and buster's back when it was like ten dollars. But uh boy, oh boy, it's just been getting uh beat up here, which i'm surprised because things should be getting better, especially in the winter.

So i wonder if we're gon na slowly sort of bleed back down to about that 30 92 level, i'm i might be tempted to make that my first and only recovery stock if it keeps bleeding down, never been such a big fan of cheesecake factory. I just i have not loved their financials owlette we're waiting on news for them to turn around matterport. I appreciate the bleed out, so i can keep building this position. I hate it when it goes over 20 because i want to keep owning it.

Uh, a firm sitting at 146, absolutely incredible palantir needs to move again. I mean palantir ran to 29. I sold my call options on it and started buying shares uh it, which is perfect because then it's it was dipping as i've been buying, but uh the option was very juicy, but i'm surprised it didn't stick around at least like 26 27 fell back under 25 Peloton staying away from right now, uh, so i closed out of everything peloton. What three months ago now it's been a while and face stuck at 173.

It's it hangs out here. It did that i'm pretty sure in like march or april as well, see like over here. What was this yeah yeah see april? It hangs around this level uh this, where we're just can't get above. This sort of uh see this right here.

These hits. This is the one this should be. Let me see here, let me grab this yeah yeah yeah. This is what this is about.

175 right here frequently pops off of that and we're seeing literally that same pop off right here, so i'm actually going to leave that line there because look over here it's been a support. It's been a magnet over here resistance resistance, resistance, uh. You know i mean this. This is actually a perfect line to draw for end phase.

Folks are asking me about drawing a line on tesla and i'm having trouble doing that. I think it's. It pulled back a tiny little now. It's still 8 41.

geez man yeah. We did draw a trend line though, and it's oh it's starting to break that trend. I just drew the trend line and it looks like it's trying to break that already look at that. I just drew that trend line uh.

Well, i mean it makes sense because i touched the high of the whatever uh okay. So it's pretty incredible: coinbase, incredible uh, okay, all right! Let's go ahead and see uh what we got in terms of news. Oh tattooed, chef, yeah, tattooed, remember folks. How many times do i say this stock just goes 16 to 24, 16, 24, 16, 24 right uh and um yeah uh higher involved than rockets and archaea had the lower okay.

So where was i oh yeah, okay, so tattoo chef, uh yeah, i mean look. If we can dip back down to what we had in august over here like this is what we do with tattooed chef, i mean i don't own it right now, but but you could see pretty clearly where this thing dips uh. It does look like it has a slight increasing trend on when it dips take a look at this. Oh yeah, yeah.

Look at this holy smokes. Look at this line. It's almost freaking perfect! Oh, my goodness. Look at that! That's not bad! That is almost a perfect one uh, you know i'll move it up a tiny little bit here.

Yeah! No, actually, you know yeah tiny little bit is okay, i'm okay! With that there there we go something like this right. That's not bad! You got the the dip over here last year. This is here's your dip last year. Here's your! I don't know why? Weeble's not letting me see what date this is.

It's very frustrating uh i'll, just zoom in a little bit more there we go. This was uh. Your end of november dip, usually it gives me the oh come on man - come on weeble, no getting angry at weeble. What else is new anyway? Okay, whatever date, this was whatever date.

That is whatever date. This is. This looks like it was probably around may 12th, but anyway, you see this sort of uh higher lows trend that you're getting over here and we're trending back to that line. So technically, if we get to you know, if we hit like something like this, what is that, if we break 17, that's probably where it might make sense to actually buy it on a trade we'll see but uh? That's that's! Trending down! That's like perfect right now like please, let's see if it behaves that'd be too funny uh.

I love that stock for screwing with it with technical analysis, because it's just been so perfect. It's just up and down uh all right. What else uh tesla almost three percent! Now, oh my gosh, it is rallying into the close kind of makes me nervous just uh, it's too too good uh, but when tesla's on a trend you usually don't want to break it. Let me see, because i want to see my december call on it.

My december my september 22, put is up 56. My december call is up 38 now, oh man, i can't call. I can't close it. I just can't.

I can't i can't. I can't kevin thoughts on wix. Wasn't that a spack? Oh sorry, wix um! Oh no! It's not it wasn't. Oh wow, okay, yeah! I don't know, i don't know why it's down trending, it's a good question, despite rising quite uh, comfortably uh against the uh japanese yen, as mike said, but uh having pulled back a little bit earlier in the week.

We're ending with the ten year and about 157 0.75 on the s p 500. and that caps the dow's best week since back in june, welcome back everyone to closing bell. I'm sarah eisen here with wilfred frost and mike santoli cnbc senior markets commentator, take a look at how we finish up the day and the week on wall street a more than one percent gain there for the dow it was a strong week posing up about 1.6. Overall for the week, what drove the action today a lot of the cyclical stocks that are tied to the economy? We got a better retail sales number that helped better goldman earnings.

Goldman added about 100 points to the dow unh was the second biggest contributor united health s, p 500 up three quarters of one percent, almost two percent for the week, its best week since july, the nasdaq up, half a percent on the day and also the a Big winner on the week technology, definitely a big part of the rally story on the week, but small caps lag today, closing down about four tenths of one percent. Coming up this hour, an fda advisory committee meeting on vaccines, voting to recommend the booster shot for j and j's vaccine. Why all right? So! Thank you, sarah, for shouting out what the stock indices did today, uh. Why did you just mention that if you have not yet make sure to uh get yourself your uh up to 70 dollars in free stocks, uh with public by going to mckevin.com, public okay yeah, so go to mechanic.com public to get yourself up to seventy dollars in Free stocks, they don't use payment for order flow, they don't buy.

Your uh sell your information and uh. You can follow me there at meet kevin to see when i trade on public uh. What i am trading on, uh public, otherwise check out the socks and psychology of money group and you can get all of my buy sell alerts, including cryptocurrency options and stocks. Okay.

So how do things end up? Let's see here, 23andme 16.88, really on, like no news. It moved off the cnbc mention and just kept going x being up point six. Seven, the asian autos did really well today, byd up four point: two: nine percent, neo4 percent lee auto four point: four percent: absolutely incredible! This led tesla to finish the day. Three percent up: it made it to the three percent number congratulations: tesla, wow tesla, moving up uh to that is an 843 close congrats on tesla.

The banks really really bullish american express visa all moving up making up for losses they had when we first had negative news on credit card spending from jp morgan uh. However, banks so bullish that and spending so bullish. This latest retail a spending report that these stocks that were covered very nicely, the very good food company, is not having a very good stock down 21.4. It did run recently off pretty much no news and uh.

It basically gave that right back up lemonade right back to 65 hit 70 and basically went right back to the pooper. Back to 65.. You've got planet 13 down 3.25 percent. My opinion still too early on uh the cannabis stocks.

If you're waiting for any kind of like nationalized legalization, then you've got uh outlet down 2.77 still waiting for that fda move, matterport, 1.97, crispr down 1.72 nano dimensions down at 5 and 60 cents boy, oh boy, that one really got hit. Uh tattooed chef fell into the close at 17.67. We did draw a beautiful diagonal line of increasing lows for this stock and we're hoping to get an intersect again here. So we can do a little bit of shopping at the bottom.

You've got a farm pretty stable. Here in the mid 140s, so far, hanging out in the 19 range incredible charge, point really can't keep it up over 20. uh, really being a little baby. Just can't get it up.

Wayfarer has been stuck at 240 little child here, hippos stuck at about the two or 430 to 440 range end phase, uh hanging out at some of its resistance level of uh resistance levels. I should say of around 173 174 175 docusign's been stuck around 260., then uh for the unstuck stocks well, you've. Well, no robin hood's been stuck around 40. A lot of these stocks haven't really done anything but uh square 249 back off those lows of 220, where we were about what a week and a half ago bought the thing at 220..

You've got cloudflare has killed it over the last month and i was so close to buying them too. We were talking, we talked about them here. We ran reports on them. I just didn't.

Do it it's another one of those i'm like dang it that one got away, it did really well. It was like up 35 to 40 percent in in, like a month and a half, that's okay got a firm. You know got some other really good plays can't win them all as they say, but uh, that's one that definitely had my eye on, because i just i don't have cyber security exposure and i really want it uh all right. What else here etsy 2.4 sitting at 221, that retail spending report certainly helped etsy out? There's no doubt about that.

Uh tesla, pretty much flat after hours, here after being up three percent on the day same thing for coinbase flat after hours. After being up almost eight percent on the day, a really incredible wrap up to the day, let's go ahead and look at coin market cap here do a little refresh here. We've got 61 4 414 on bitcoin, absolutely incredible. Yesterday, night in stocks and psychology money, i sent out my last crypto alert on picking up a little bit more bitcoin uh at uh.

I think just a little over one bitcoin about uh, adding to my uh sort of portfolio, because i also bought aetherium and ada uh over the last few weeks here. Oh, i try to keep them balanced. 20. 40.

40 is sort of my spread, but anyway uh that did very nicely good, good move there on uh btc. So i'm happy about that yeah sure uh, i'm gon na make a video on sheeb and leash later today, so stay tuned for an update on this, especially leash leash has been an interesting one: uh, okay, let's go ahead and see treasuries and oil, so oil coming In at almost almost 85 on that brent oil and treasuries at 1.57 kind of stuck there uh all right. So, let's see if we got any kind of headlines here. Johnson, johnson, coveted booster, wins, fda advisors, unanimous backing nice and moderna was delayed for adolescence, potentially because we have pfizer but also distractions.

They say blah blah blah blah tethers latest black eye is a cftc fine about lying about its reserves. Oh, oh, my gosh. The one thing that i've constantly talked about with cryptocurrencies that make me nervous is the reserves that underlay stable coins, because, especially if you think you're farming a yield and - and you have this currency as a savings account essentially and all of a sudden you're earning a Yield on things like tether or usdc or whatever gemini, and this money is actually being lent out and you're, not aware, if or fully aware or comprehending that it's fully lent out when you're accepting these yields, then the underlying reserves become even more of a concern because, If the reserves crippled, then the lending market crippled and you could see some big ouchy wow cheese in the crypto market, which a big algae wow. She in the crypto market, that's now worth uh that has exposure to seven trillion dollars worth of equities, including square tesla and others, visa, mastercard, jp morgan and so on.

You you could really hurt the market and that's why regulators are paying attention to things like tether right now and so uh. Look at this. The biggest stable coin issuer has been hit with a 41 million dollar penalty and bitfinex has been fined 1.5 million together or sorry. Tether will pay 41 million to settle allegations that it lied in claiming its digital tokens were fully backed by fiat currencies.

Putting a major compliance headache between the world's biggest issuer of stable coins, even as regulatory scrutiny intensifies not a surprise to see this at all. The tether fudd was all over the place and it was not wrong. Remember fear is different from fake news. I say that because sometimes we hear fud and we just kind of write it off as fake news, but no fud stands for fear, uncertainty and doubt, and it makes sense that there's fear uncertainty in doubt because there are red flags and what do they say when Uh when there's smoke, there's fire right anyway for years tether, told customers in the broader crypto market that it had one dollar in reserve.

For every token, however, the commodity futures trading commission said friday in a statement. Well, that's what they said in the statement reiterating that, however, the claim was wildly misleading. According to the agency, for example, from june to september of 2017, there was never more than 61.5 million dollars backing tether, even as roughly 442 million coins were circulating. At one point no way: oh my gosh - that 61.5 only represents 14 folks 14 backing on tether, that's horrible in 2017., that's horrible! I mean that goes way back to 17, but that's not a good reputation, 14 and you're saying it's one to one! That's! That's very dishonest.

This case highlights the expectation of honesty and transparency in the rapidly growing and developing digital assets market. I completely agree with that. I mean i personally think this is the kind of regulation that we really do need. If companies are telling us hey, don't worry, our stable coin is backed one to one, then prove it and make it clear to people with proper disclosure that, if they're getting a yield their money is being lent out and that they do not have claims to the Underlying asset, that's the big thing.

People think, even though i'm getting a yield. Oh it's! Okay! It's backed one to one. I could always exchange it for a dollar. No, you can't, if you're, taking a yield, because then it's being lent out tether is widely used to trade, bitcoin and other tokens, making it pivotal to the crypto market.

That's because the coin allows quick transactions, largely immune to volatile price swings as a function of its one to one peg, but many traders have long been skeptical that tether genuinely had money backing the coins that claim more recently, the treasury department and other federal agencies have Been alarmed by the stable coins, dramatic growth, there are now tethers worth about 69 billion in circulation, prompting concerns that crypto market disruptions could trigger chaotic fire sales right. This is basically what i just described in its enforcement action. They say tether failed to disclose what they were holding especially yeah. This is the other thing they they have a lot of uh here.

Look at this unsecured receivables which are like promises to repay cash and non-fiat assets, which could in theory be other cryptocurrencies, which is weird because like if tether is backing its coin with other bitcoin, that that would be odd, right, uh or uh or potent or a Lot of junk bonds potentially like there was a lot of fear when the evergrand crisis happened, that tether was investing in ever grand junk bonds turns out they weren't, or so they say and so uh. You know some of that fear was sort of alleviated for tether. Falsely told investors it would undergo routine professional audits to determine that it maintained 100 reserves at all time, but in fact, tether reserves weren't audited until at least 2018 tether manually kept tabs on its reserve levels, process that wasn't updated in real time, tether didn't admit or Deny the commodity future trading commission's allegations and tether agreed to resolve the matter in order to move forward and focus on the future. The company said in a statement posted on the website, bitfinex also hit, and this follows a february settlement with between the new york attorney general bitfinex and several tether affiliates of hiding losses and lying that each token was supported by one dollar yeah yeah yeah.

Then the companies uh together agreed to pay an 18.5 million dollar fine without admitting or denying uh claims. Okay treasury officials are preparing to release reports on stable coins. That's going to be interesting! That report i'm excited for that and the gme report. Looking for that, one and officials are also discussing whether to launch a formal review by the financial stability oversight council into whether or not the tokens pose a systemic economic threat.

I think they probably do pose some form of systemic threat, again seven trillion dollars, even though the crypto market's like two trillion dollars, because there's so many stocks like companies right companies that sell their shares on the stock market, uh that have exposure to crypto, whether they're Miners, whether they're uh, you know jp morgan visa, whatever trying to affiliate trying to transact right like square cash app these. These are exposures even public, where you could get a free stock worth all the way up to seventy dollars up to seventy dollars. By going to medkit.com public they're exposed to crypto as well right, a lot of private equity also exposed crypto nfts lots of this liquidity crisis and crypto would be pretty bad for a lot of things, but anyway, tether is a key focus of government scrutiny. Don't forget also, though you have things like usdc and the gemini dollar that have a lot of similarities, maybe not as much as tether, but still the fact that it's being lent out is still a similarity, but anyway that's interesting on tether, fascinating, at least now.

This kind of puts this behind us, though, which is good. Hopefully now we can go forward with a cleaner slate, but anyway, in the meantime. Thank you so very much for watching check out the programs link down below and building your wealth, get that 41 off coupon code before october 29th. Make sure to get your free stock with public worth all the way up to seventy dollars.

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