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- [00:04]
Progressive Insurance
This episode is brought to you by Progressive Insurance. Fiscally responsible financial geniuses, monetary magicians. These are things people say about drivers who switch their car insurance to Progressive and save hundreds because Progressive offers discounts for paying in full, owning a home and more. Plus, you can count on their great customer service to help you when you need it. So your dollar goes a long way. Visit progressive.com to see if you could save on car insurance, Progressive Casualty Insurance Company and affiliates. Potential savings will vary. Not available in all states or situations. Welcome to the Candy Valentino show, the podcast for founders, investors and entrepreneurs where we have honest conversations about what it takes to grow your business, build more wealth and create financial freedom.
- [01:15]
Candy Valentino
Hey guys, welcome back to the show. I'm Candy Valentino. Thanks for tuning in with me today. And today we are diving into the latest breaking news topics and headlines that are shaping up the business and finance world. We've got a lot to cover. The new tariffs go in effect today. As I am recording this, Elon Musk we just heard may be departing from Washington, the Tesla stock. We've also got to talk about Amazon's bid to acquire TikTok and most importantly, the big picture behind all of this that you need to know about. So let's get right into it. First up, I want to make sure that we talk about this continued talk on how to navigate the tariff era. I talked about this two weeks ago on the show. I asked many of you if you like this type of content and a lot of you actually reached out saying that you wanted more of this. So we're actually going to bring this into the show once a week. We are doing a very timely recording. It actually took me a minute to agree to this with the network because it requires me to do this very much in the minute right before we drop the episode. But you guys liked it. I think it's a lot of fun. I'm paying attention to it anyways for my own investments and my own businesses. So why not share it with all of you so that we can strip away the fear, the worry, the concern, and actually give you the information what it means to you and your business so that you can make the best decisions that affect you, your family and your bottom line. So as we know, this tariff talk has continued. In April 2, President Trump declared as Liberation Day. The implementation of tariffs is again, like I said two weeks ago, it's really promoting the US Manufacturing boom again. It's addressing what this administration is seeing as very unfair trade practices in our country and really creating us to be self sustainable in the global market, addressing a lot of potential security concerns that there could be if we don't do a lot of these things that they're intending to do. So these tariffs that are on Liberation day are basically 25% on automobiles, steel, aluminum, pharmaceuticals, computer chips. This will impact trade with China, Canada, Mexico, the eu and we're already seeing countries responding today. So I don't want to get into the weeds of both sides of economists and their thoughts. The goal here is to generate an additional $600 billion annually outside of our Internal Revenue Service. So outside of the irs, of how we're taxing our own citizens, this is a goal to generate income from outside of our own people. However, it's also going to do a lot of other things that I want to get into in a minute. But first, so that you understand both sides, because my, my point is this. I like to give you as much as I possibly can because of course I have my own opinions, which I will share. But I also like to give you the other side so that when you're ever in conversation or you hear the other side, you can at least understand their position and even see some of the truth or some of their perception of why they think that. So a lot of economists that are saying that this is an economic disaster warns of potential economic downturns, increase consumer costs, it's going to destroy the middle class, it's going to increase inflation, it's going to disrupt our trade relationships, the markets are going to be volatile, which we've seen, they have been. Investors obviously aren't going to be sure of what they're going to invest in. A lot of pensions and retirements are going to diminish. Right. That's what the other side is saying. And I want to take a step back. I want to look at the bigger picture of this because everyone, like I shared two weeks ago, if you look at this in a very isolated metric, if you're just looking at this one thing and you're not looking at the whole picture, you can miss what's also going on. In just 60 days, the US has secured, I believe it just toppled $4 trillion. $4 trillion in global investments in trade commitments over the next several years. And these are not small chunks of change. I shared before Apple, $500 billion and not in like 10 years. By 2026, they are planning a massive factory in Texas and committed to creating 20,000American jobs. SoftBank pledged a hundred billion. Stargate, which is Oracle and Open AI investing 20 billion in new US data centers, Taiwan Semiconductors, which I mentioned before on the show. We need them. We buy so many chips from them to power so many things. They are committing to $100 billion in manufacturing in the US Nvidia hundreds of millions of dollars. There are furniture manufacturers that are leaving Canada and building new facilities in North Carolina. Johnson and Johnson, 55 billion in the U.S. hyundai, Hyundai, GE, aerospace. There's so many. I could go on and on types of investments is part of the overall strategy to build the US middle class, to build manufacturing jobs back to stabilize our economy not just in the short term, but long term. That's why this is not a short term play. The goal is truly long term economic strength. And those who weather this period of uncertainty in market and stay the course are really the ones that are likely to reap the rewards. As the US economy stabilizes, manufacturing jobs return, those investments start pouring in. And here's the critical takeaway for investors, for entrepreneurs, for anyone really wanting to achieve anything. Great. I want you to get this. Short term pain precedes long term gain. If Warren Buffett was on here right now, I could tell you I've heard him say this. I've shared it with many friends. He always says if you are inclined to sell your investments when the market dips, you shouldn't be investing in the first place. And he uses this great analogy about a house. Basically, if you have your house on the market, you know what it's worth. You've done the comps. Everybody shares that this is the true value. And you've not just overpriced it because you think the market is one way, but you don't have any data to sort support it. And somebody comes in and offers you less for your house just because you're not going to sell it unless you have to. But if you don't have to, you're either going to hold it until it does, somebody does come along and wants to pay the value, or you're going to make additional investments to increase the value. I want you to get that. The same applies here. Investors who stay the course and can weather the volatility, the ones that see that if this company was strong at the beginning of this, all of this instability in the market that's affecting all of the stock prices eventually will stabilize. So if I'm able to buy down in those specific sectors or companies or markets that I think are going to stabilize because just four months ago they were doing great, then I'm able to buy it at a discount. I'm able to sell, stock up, if you will. Those investors, my friends, those are the ones that are going to reap major rewards when the stability returns. And that is when you're going to see exponential growth because everybody else exited the market with really scared money. And then as it starts to come up, they start investing back into the market. And then your shares, your investments grow as that new money enters the market, as it returns to be a bit more bullish. Now, how do we know, how do we know that some of these companies are going to potentially return? How do we know that the tariffs are not going to wreck the stock market forever and our investments are all going to go in the crapper once and for all? Well, I always like to look at the data. Let's look at historical context. When we look at Trump's first term, we see this playbook and we actually see it playing out when we reflect on that first term. In 2018, he implemented tariffs on all sorts of things from solar panels to washing machines and eventually led to these retaliatory measures from trading partners which then escalated into a trade war. Does Anyone remember it? 2018, 2019 before COVID Does anyone remember a trade war? Does anyone remember cost of goods to run your business, run your household being so exponentially expensive? If you didn't, you're not alone because even the Federal Reserve bank of Boston estimated that the 2018 tariffs contributed approximately 0.1%, 0.1 to the core PCE which is the personal consumption expenditures. It's an inflation metric. The New York Federal Reserve came out in 2019 and said this trade war in China is going to cost the average American around $831 more. All of the talk created investor uncertainty. The Dow Jones fell, markets pulled back and then click into 2019 the stock market reached all time record highs. I just wanted to highlight this episode.
- [10:51]
Progressive Insurance
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- [11:20]
Candy Valentino
Hey guys, our show is made possible because of our sponsors. Without our sponsors we would not be able to keep keep this show free for everyone who listens. And this is a message from one of our sponsors, Intuit Turbotax you know, taxes was dealing with piles of paperwork and frustrating forms and then waiting and wondering and worrying if you were going to get any money back. Now taxes is easily uploading your forms to a turbo tax expert who's matched to your unique tax situation. An expert who's backed by the latest technology which cross checks millions of points for 100% accuracy. While they work on your taxes, you get real time updates on their progress and you get the most money back guaranteed. All while you go about your day. No stressing, no worrying, no waiting. Now this is taxes intuit turbotax get an expert now on turbotax.com only available with TurboTax live full service real time updates only in iOS mobile app. See guarantee details@turbotax.com guarantees this because of the importance of navigating these strategic points inside of the market, understanding that investing is a long term strategy and the psychology of the investor, I would say is equal if not more important than the exact investments that you make. Now how does this tie in to Amazon and the one thing that you need to win in this market? Well, I'm going to share it with you. All right, so we need to get into Amazon TikTok in the one thing that is really going to drive everything for the investor, the leader, the entrepreneur. But I think we should at least touch on the fact that a lot of News just broke 15 minutes prior to me recording this episode about Elon Musk and Tesla. Obviously, if you are watching the stock, if you've invested into the stock heavily, you're seeing a lot of change. And this called for Elon to make some big shifts. So this announcement that he's leaving Washington, coming back to Tesla, pushed up a big surge in the company, which obviously was needed considering that there has been so much market instability and a lot of people just flat out revolting against the brand. Because of his alignment with the administration and going into Doge and doing all of the things that he's been doing, there's a lot circling this stock. I mean, a lot of the instability is coming from market. I was actually sitting on one of the investor calls and there were so many people that were still questioning Tesla's decision about full autonomy, which if you've been following it all, it's really fascinating to see what's coming in our world. But Tesla, as opposed to Waymo, is not using lasers in their fully autonomous cars and a lot of people are saying that it's never going to happen without lasers. Elon is saying that you don't need lasers, our eyes don't use lasers, the cars don't need lasers with all of the cameras. His exact words were on the call, people don't shoot lasers out of their eyes to drive. We don't need them. So there's a lot of that going on. Obviously if it's found that the cars are going to need lasers, that's going to further drive down the stock because it's going to cost more to produce them. But if he's right, and I mean, let's be real, he shot rockets into the, into space, he's done a lot of crazy things. So if he is right and we don't need lasers in order to have fully autonomous cars, we just saw the other day that cars that are being built are going fully autonomous to deliver themselves in order to have quality control checks. We just saw that. They have a cool video on X that I saw of that happening. It's really neat. But if they don't need lasers and the market is incorrect that the cost is going to go up, that's going to skyrocket the stock. So you and I can watch this together and see who's right. If the market is right or if Elon knows what he's talking about with autonomy and lasers and robots and self driving cars, we'll see. The other thing that just hit headlines was Amazon. They are basically making a last minute bid to acquire TikTok because the the clock is ticking, no pun intended, on this acquisition coming away from China. And what is going to happen with TikTok? That deadline is looming now. A lot of people aren't taking this bid seriously, but man, can you imagine Amazon integrating into social commerce with the TikTok shop and how that would create a vast ecosystem for retail. It's fascinating to see. I'm curious to see how this is going to play out and it's definitely something to pay attention to if Amazon is one of your stocks. We've got positions on both sides. There are a lot of people saying that it is massively undervalued right now. There are a lot of people worried about the tariffs that think that it's going to have some instability or a downturn if the tariffs come into effect because of so many things being manufactured in China, at least in the short term. So those are some of the top headlines and stories going on right now in business and finance. I want to get into a leadership principle that really every investor, every entrepreneur can take from this. Now if you are not political, like I said on my show, last week. I'm not going to shy away from difficult conversations like this because regardless of who's in the White House and regardless who you voted for, these topics are critically important to your money, your family, your bottom line and understanding them. A lot of people will invest two hours in a Netflix show or two days binging one, which, by the way, there are some really great ones out right now, so no judgment if that's you, but taking 20 to 30 minutes, even an hour every week and making sure that you're paying attention to this type of stuff. Of course we're going to be bringing this weekly to the show, so make sure that you tune in next week. We're going to have some changes to the schedule, so there may be a few days that change, shift and the topic. So if you're used to tuning in on a specific day of the week, those might shift a little bit. But we will make you aware of all of the changes. We are going to be doing this weekly because I think it's so important. And I want to leave you with one final thing. This is more of my thoughts on all of this. And this may seem like it has nothing to do with tariffs or the market or the economic shift that were happening, but it's very interesting when you really reflect on all of this, the total picture of everything as it relates to our government, our economy and us, all of us, the investor, the entrepreneur, the American citizen. There is something fascinating that I'm seeing and it's really a lesson of leadership on persistence, on resilience, on conviction, which is actually the mindset that you need to be a transformative leader, to really create change in your market, in your industry, to be a disruptor, a pioneer, to lead a family, to go against the grain, whatever it may be for you and love them or hate them, Donald Trump's strategy really shows us something fascinating. Leaders who want to do big things cannot get stuck on short term criticism. You must stay the course. You must be committed to your vision. Even when faced with massive obstacles and resistance. You need to care more about your dreams than the opinions of other people. And whether you're an entrepreneur or an executive, vision and resilience are essential. When you're chasing big goals and you've got big dreams, you are going to have big critics. The easiest place to be in life is in the middle, mediocre, not really going for anything, trying to be friends with everyone, that's the safe place when you want to do something different, when you want to go against the grain, change the mold, Break the mold. Be the first in your family to do something. You are going to have people say that you're doing it the wrong way, that you should do it this way. You're going to have people criticizing you. The most important thing you have to do as a leader is to stay the course, to weather the criticism, to make the decisions that are aligned with your long term vision. And what ultimately is going to get you closer to your long term success, whether that's building wealth, building a business, or anything that you want to do in life. All of the most successful people I know, we've all faced doubt and pushback and obstacles and outright opposition. People that will attack your character, your decisions, your integrity. They'll question why you did something one way, why you didn't do it the other way. And I'll tell you one thing, when I was building a nonprofit, I couldn't do anything right. If I posted on social media too much about the nonprofit, I was trying to get attention. And then if I didn't post on social media enough about the nonprofit, I didn't care. But the reality is you can cure cancer and someone somewhere is going to have a problem with how you did it, that you didn't do it fast enough, that you didn't do it this way, that you spent too much money or not enough money, that you tested it too much or didn't test it enough. You have to care more about your dreams than the opinions of the critics. The difference between those who make history and those who don't often boils down to persistence. And when you truly believe in your vision and the strategy, you cannot let the noise alter your path. Whether you're trying to disrupt your startup, whether you're an executive making strategic decisions, resilience and your clarity of the vision is paramount. Us as leaders often must choose the hard, the lonely, the difficult road, knowing that that short term pain will lead to long term gain, even if it means enduring the criticism and the uncertainty in the moment. And when you watch someone that is facing massive obstacles and when they don't back down, when other people disagree, they doubled down on what they believe in. And that is actually a lesson worth noting. Regardless if you care about their politics or not, in order to really build something great, we have to develop that kind of conviction. So whether you're in business, you're navigating tariffs, you're trying to figure out how to build a real estate portfolio, you're investing in all of these stocks, you're dealing with the corporate shifts of your job or you're trying to innovate something new. The ones who stay the course, the ones that adapt, the ones that are resilient, those are the ones who are ultimately going to come out on top. So if you listen to all of this and you can only take away one thing, this is it. This is what I want you to take away. You cannot change the world by becoming just like it. You cannot change the world by playing it safe. If you allow the world to define you, you will ultimately give it permission to destroy you, destroy your dreams. You cannot make history or make anything great without risking failure. And the best leaders know that your vision, your life, your goals, your dreams are worth the battle. So whatever you're up against today, whatever challenge or criticism or setback that you're facing, remember that staying the course is not just a strategy. It's a declaration. Have conviction to do it. You're not here to play small. You're here to build. You're here to innovate. You're here to make waves. And when it's all said and done, it's not just about weathering the storm. It's about being the one who's still standing when the dust settles. So go make your storm. Weather this one in the short term and let's build something sustainable. Sustainable and real in the long term. Thanks so much for tuning in and spending this time with me today. Tune in next week because we've got more headlines, more trending topics, and more breaking news you want to know so you can build your business, your bank account and your bottom line. We'll see you next week. Hey guys, thanks for tuning in to this episode and if there was something that you loved or you had a specific takeaway, share it and tag me at Candy Valentino. And if you haven't already, grab a copy of my latest book, the 9% Edge Life Changing Secrets to create more revenue for your business and more freedom for yourself. You can pick it up anywhere books are sold, Amazon, Barnes and Noble, or your local independent store. And once you do, head over to 9% edge.com and claim $1500 in pre order bonuses, including a chance to join me on this very show. Thanks so much for tuning in and spending this time with me today, guys. We'll see you next time.