🔥 7 Hot Investing Trends For 2024

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Let’s dive into some hot trends, consumer analysis, and a deep bitcoin conversation!

• 7 Hot Investing Trends For 2024 🔥

• The Consumer Is Showing Signs Of Life 💪

• Bitcoin's Tipping Point - Market Analysis & Bold Predictions 📺

Today’s newsletter is a 4 minute read.

7 Hot Investing Trends For 2024 🔥

1. Emerging Markets and International Equities Sparkle

As the dollar strengthens, savvy investors are turning their gaze towards emerging markets and international equities.

The potential for high growth rates in these regions, coupled with favorable currency exchange rates, could offer attractive opportunities for diversification and higher returns.

2. Space: The Final Investment Frontier

The space sector, especially asteroid mining stocks, is poised to capture the imagination of investors in 2024.

With advancements in space technology and increasing private-sector involvement, this once sci-fi concept is becoming a reality.

The potential for extracting valuable resources from asteroids could open up a whole new realm of investment possibilities.

3. Metaverse and Digital Assets: A New Virtual Economy

The expansion of the metaverse and digital assets is reshaping the investment landscape.

As virtual and augmented reality technologies evolve, they are creating new digital economies and investment opportunities in virtual real estate, NFTs, and digital collectibles.

4. Rise of the Machines: Algorithmic Investing

Algorithmic, or "robo" investing platforms continue to rise in popularity.

These platforms use advanced algorithms to make investment decisions, offering efficiency, lower costs, and the ability to process vast amounts of data for optimized portfolio management.

As AI and machine learning technologies advance, these platforms are becoming increasingly sophisticated.

5. Election-Induced Market Volatility

The upcoming election cycle is likely to introduce increased market volatility.

Investors might increasingly gravitate towards defensive sectors such as healthcare, utilities, and consumer staples, known for their resilience during turbulent times.

This shift could provide stability and potential growth in an otherwise uncertain market.

6. Clean Energy Innovations Fuel Investment

Breakthroughs in fusion technology and clean energy storage are set to provide significant investment catalysts in 2024.

As the world shifts towards sustainable energy sources, companies at the forefront of these technologies could see substantial growth, offering promising opportunities for investors focused on green and sustainable investments.

These trends reflect a dynamic and evolving investment landscape, marked by technological advancements and global economic shifts.

Investors looking to stay ahead in 2024 may find these areas particularly promising.

7. Bitcoin's Bullish Horizon: Block Rewards Halving in 2024

As we approach the highly anticipated Bitcoin block rewards halving in April 2024, expectations of a bull market in the cryptocurrency realm are intensifying.

Historically, Bitcoin has experienced significant price increases in the months leading up to and following past halving events, as the reduction in block rewards tends to create a supply squeeze.

This halving, expected to further reduce the rate at which new bitcoins are created, could amplify the scarcity of Bitcoin and potentially drive up its value.

The Consumer Is Showing Signs Of Life 💪

We’ve received another wave of retail earnings to give us insight into the health of the consumer.

We think this is a more important time than ever to pay close attention to how consumers are choosing to spend their money.

Let’s dive in.

BBY (Best Buy):

Best Buy has seen a drop off in revenue growth after consumers binged electronics in 2020 and 2021.

The entire PC and electronics industry is going through the same woes of front-loaded growth.

But, Best Buy is starting to see revenue declines improve slightly, but not enough to get super excited considering its valuation.

All-in-all… it seems that consumers are still not prioritizing spending on electronics yet.

KSS (Kohls):

Kohls is a department store similar to a Macy’s or Dillard’s.

While many retailers have seen revenue declines improve, Kohls revenue seems to be trending in the wrong direction.

Kohls has some stiff competition from Target, Walmart and Amazon and it’s been a retailer that we’ve had our doubts about.

The share price reflected the lack of investor enthusiasm for this retailer (rightfully so).

ANF (Abercrombie & Fitch):

Now for some good news about the consumer: they’re spending plenty at Abercrombie & Fitch’s brands.

What a blow-out report from a retailer that has been going through a massive turnaround.

It’s hard to argue that the consumer isn’t spending on discretionary goods when you look at this report.

The core Abercrombie & Fitch brand had 30% revenue growth. Hollister brand had 11% revenue growth.

You have to been super in tune with retail earnings to understand how impressive this is!

So, it seems that ANF’s CEO is doing everything right here with overall revenue growth continuing its trend higher and holding pre-pandemic gains.

ELF (e.l.f. Beauty):

The beauty industry is doing just fine according to the reports we’ve seen. e.l.f. Beauty is no exception.

Even Target (TGT) was clear on their earnings call that the beauty segment was a standout.

e.l.f. Beauty products are sold in big box retailers like Target and it’s a top brand with teens. The revenue growth is trending higher and they’re increasing operating income at the same time (which investors LOVE to see).

So, again… discretionary spending isn’t ALL bad news.

There were other retailers like Dicks Sporting Goods (DKS), Lowes (LOW) and American Eagle (AEO), Nordstrom (JWN) and Urban Outfitters (URBN).

American Eagle had healthy revenue growth (especially for their popular Aerie brand), but, the stock price reacted negatively on a margin miss.

The truth is, electronics, discretionary products at big-box retailers, and home-improvement store products are still seeing weak demand.

But, discretionary spending isn’t totally dead here. Brands are simply mattering again to the consumer.

People are flocking to specific brand names like Abercrombie, Hollister, Aerie, Free People or Anthropologie. They’re not as enthusiastic to shop at places like Nordstrom (JWN) or Urban Outfitters.

So it continues to be a weird, mixed picture in retail-land with good and bad.

But, people seems to still be buying up whatever brand is in “fashion”.

Retail is cut-throat! It’s as simple as that.

Bitcoin's Tipping Point - Market Analysis & Bold Predictions 📺

In today’s video, we're diving into some bold predictions and analysis with Brad Mills and American HODL.

We discuss the evolving landscape of Bitcoin and its impact on global financial markets, dissecting the factors influencing its growth and potential pitfalls.

We explore regulatory challenges, technological advancements, and the ever-changing perceptions of Bitcoin as a viable investment option.

Food For Thought 🧠

"Don't look for the needle in the haystack. Just buy the haystack!"
- John Bogle

DISCLAIMER: We are not investment advisors, and this content is for educational purposes only. We don’t offer financial, legal, or tax advice. Nothing we say is a recommendation to buy or sell any assets. Trading and investing are extremely risky, so please be careful and do your own research.