May 8, 2024 • 10 mins
This episode of the Best Advice Podcast addresses the perception of opportunities and the importance of being consciously aware of your surroundings. Your host, Rob Lovaglio, introduces an interactive segment known as the Silver Car Test. This intriguing exercise reveals the power of focused attention and demonstrates an essential message - opportunities are everywhere, but they can only be grasped if we are actively looking for them.
Another noteworthy part of the episode is focused on the recent development in the financial market, discussing the unexpected upturn of software employment numbers. This financial analysis helps elucidate market dynamics and how corporate earnings influence the market, providing listeners with practical economic insights. Particular emphasis is placed on how major companies like Microsoft and Apple navigate and leverage these dynamics to their advantage.
This episode is not only a goldmine of powerful practices to positively influence your mindset and actions but also a deep dive into economic understanding. It emphasizes the importance of focusing on priorities, keeping your goals in sight, and how this can automatically direct your energy towards success.
Listen in to also enjoy a brief Q&A session, where they handle various listener questions related to the intriguing financial discussion. Stay tuned to gain useful wisdom about wealth - it is not entirely about what you earn, but significantly about what you keep.
Mark as Played
Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
(00:00):
You're listening to the Best Advice Podcast, guys. If you haven't already,
give us a five-star review and help spread the word.
And if you have a question for the guys, email a voice recording to podcast
at bestadvicepodcastguys.com.
That's podcast at bestadvicepodcastguys.com.
Today's episode is brought to you by Security Financial Management.
(00:21):
If you're ready to level up your financial game, SFM offers a free initial consultation
after each episode. Just send an email.
To podcast at bestadvicepodcastguys.com with the subject line complimentary
consultation to book yours today.
Welcome back to Best Advice Podcast, guys. I'm your host, Rob Lavalio.
(00:45):
Here as always with Frank Lavalio and dad, it's just me and you today.
We are dropping like flies today, man. We have Dave and Mitch and Austin out
of town, right? Where are they? Nashville?
They're everywhere. everywhere everywhere they are everywhere hey the
birthday but the two best are left so yeah we
got the a team today guys per usual we
(01:10):
like to start our episodes with a powerful practice of positive thinking so
dad it's only me and you one of us has got to do it i think i'll go you go for
it but with that then give me something good that's not bad so for today's something
good But it's going to be more like an exercise, right?
It's going to be called the Silver Car Test, Dad.
(01:30):
So I'm going to ask you a question, right? Yeah. So how many silver cars did
you see driving here today?
And I mean, not like kind of saw, like you can think of a silver Mercedes or
you can think of a silver Impala when you're driving over here.
Well, since it's only about a two-mile drive, I did see a silver Honda and I
did see one. So I'm going to say two. Wow, you remember that. I do remember.
(01:52):
That's pretty crazy. Because it kind of had a cool back to it. Okay.
Interesting. Two of them. Now, before you left the house today,
if I would have told you, hey, every silver car you see and you can verify that,
you're going to get a hundred grand in your pocket. I saw a lot more silver.
There'd been a sea of silver. But if I told you that before you left, right?
Yeah. I mean, it would have started appearing out of thin air,
(02:14):
right? Silver, like all of a sudden you would see all these silver cars.
And I would have taken a much longer way to the office.
That's funny. I might've gotten a new summer and hooked around.
But the point here is simple, but it's impactful.
Just like the silver cars, your opportunities in life are all around you, right?
It's just if you're looking for them or not. But if you're not looking for them,
(02:35):
they're going to pass by just like every other silver car that passed by you
this morning. That's definitely true.
This experiment shows us the fundamental truth about human perception.
When we're not consciously looking for something, our brain filters out most of our senses.
It's basically a filter mechanism that helps us focus on what's important right
now. So how do we let these opportunities stop passing us?
(02:55):
How do we create a winning mindset to actively pursue opportunities?
The answer is pretty simple. You just got to find a way to keep your biggest
priorities in the front of your mind, right?
Some people do this by writing down their goals. Some people do this by visualization.
Some people do this by manifesting it. However you want to keep your biggest
priorities at the top of your mind is completely up to you.
(03:17):
But it really only takes a couple minutes a day to remind yourself of these
goals. And this is going to automatically focus your thoughts and energy in that direction.
I'll leave you with this on this. Give me something good today,
dad. It is the, I see only what the mind is prepared to comprehend.
And that is my give me something good. I like it.
(03:38):
Let's get to the question of the day. Today's question comes from Joey from
Altamont. Joey, what you got for us?
You want to say something? Hey guys, I noticed that the market really rallied
at the end of last week. and it seemed based on software employment numbers.
What does that really mean? Thank you.
Thank you, Joey. So today we got one expert. We only got one,
(04:00):
Dad. So you're going to have to come in with a work right now.
Go ahead and take off for us. Let's do it. Yeah, I'm used to that.
We're going to go for it. So, you know, good question, Joey.
And a lot of people are wondering what happened. The market was getting beat up really bad in April.
And then late last week and really into yesterday, Monday, it was better.
And so part of that question is, you know, what happened? We had a softer jobs report.
(04:23):
And it's very interesting because the Fed is in a very tricky spot.
You've been hearing about this for, gosh, over a year, year and a half about
this soft landing. And what does that soft landing mean besides soft?
Coming in your truck and not beating up your gravel. From an economic standpoint,
that means that the Fed was able to manage its way through this higher inflation,
(04:45):
but also be able to increase rates in a way that it doesn't put the economy into a recession.
So they've been on a tightrope now for at least a year, year and a half.
Is it kind of like a seesaw?
Is that how it works? I don't know if it's more of a seesaw than it is a tightrope.
And basically what they're saying is, and the reason for this most recent upmarket
here in the last couple of business days is the U.S.
(05:08):
Economy added fewer jobs.
And normally you'd say, well, how is that good?
Well, again, they're on this tightrope between not putting us in a recession
but also being able to come back because they raised rates so many times recently.
Recently, really what the economy wants and what really the stock market wants
is lower rates, because lower rates means borrowing costs are lower.
(05:31):
So if we can get inflation in check, then the Fed will lower rates.
So by having a softer job reports, that was good. So bad is good. It's kind of crazy.
Wage growth and it's unexpectedly cool. So you had less jobs and then wage growth,
meaning higher dollar per hour wages and increased salaries,
that's slow a little bit.
(05:52):
So that's what they call kind of a Goldilocks moment. Everybody remembers Goldilocks.
Goldilocks is a sweet spot for the Fed, meaning there's a softening labor market,
but corporate earnings have been strong.
Because if you look at earnings, I mean, at the end of the day,
you can have all, there's a lot of noise out there, right?
You got CNBC, you got Hamas and Israel. I mean, that is scary.
(06:15):
Is there going to be a world war? There's always noise and there always has been noise.
And the difference is our company's making money.
So then you have big companies, you know, that whole big magnificent seven,
which has been driving this market.
Two big companies reported in the last week. Microsoft, who's,
you know, took over Apple as the most, the largest, they have $3 trillion now of network.
(06:40):
He got me invested in a fruit company.
And so then I got a call from him saying, we don't have to worry about money
no more. And I said, that's good.
One less thing. Look, Microsoft and Apple reported here in the last several
business days, and they both were positive, right? So people are like,
can Microsoft keep this up?
All this AI hype, and is it really hype or is it real?
(07:02):
Well, in their cloud reporting, which is a big part of their profits,
they showed that AI actually increased real sales.
So what people want or what the market wants is AI is cool, but is it really working?
So in their Microsoft Word and some of their usable devices.
They actually saw a profit because AI helped them. That's big.
(07:24):
Yeah, that's big. So it's like it's like a lead and then executed.
So is it really going to work? Well, Microsoft showed in their most recent report
on their cloud computing that some of the AI they're incorporating is actually
working. So wait a minute. This is real. Yeah.
And the market likes that. Right. So then NVIDIA sparks.
Right. And then Apple, who everybody iPhone sales in China have been very soft.
(07:46):
And all the doom and gloom was saying, oh, Apple's going to get slaughtered
this quarter. Watch out. Should you sell?
All the analysts were weighing in. Well, what happened?
They, you know, they're, they're wearable, you know, the iPhone watch and the,
and the iPad and a lot of other areas that have been super profitable and their service industry.
Think about how many millions of devices that they're using every day.
(08:08):
It's like, I mean, think about people come to work, they got an iPhone watch,
they got, they got their iPhone and you're plugging in your car.
I saw this guy at the court side of the court or the best playoff games, NBA.
I saw a guy on court side and he had those big new goggles on.
And he was like standing up and he was moving his arms.
I'm pretty sure Apple had to pay him to do that because it was like marketing.
(08:29):
But it seemed like that didn't do well. But even when they didn't do well,
it seems like they're doing well.
Yeah. And to that point, Robert, that device is going to take off a little bit.
So they were actually down 10%.
China's sales on the iPhone were down 10%. And China has just so many people. That's a big deal.
But they made up for it in other areas. And the market's like,
hey. And then they bought back.
(08:50):
Billions and billions of dollars of their own stock which is the
reason why the market likes that that's a vote of confidence right
yeah we don't care about what you're doing but we're going to buy billions of
our own share so watch us win it's almost like insider trading a little bit
it's like we're going to buy our own stuff because it's there they're allowed
to do it i mean it's the scc registered they have to apply but the cool thing
(09:11):
is it's when a company says we know we're so profitable we're going to put we're
going to buy billions of shares yeah and And then everyone's like,
wow, that's probably, they believe in themselves.
They see the day-to-day too. So they know more than anyone else does about what's going on. Exactly.
So, you know, Microsoft reports, Apple reports, and earnings really,
(09:33):
really are an important factor of driving the market.
Again, there's noise everywhere, but at the end of the day, are these corporations making a profit?
Because that's why we buy the stock, because if a corporation is profitable,
it increases the share value.
And that's what it's all about. out. So we're going to be brief today,
but wanted to make sure we answered that question, Joe.
Hope that answered your question and everybody have a great day.
(09:56):
That's perfect, dad. It worked right. Next week, we have a awesome,
awesome special guest and Matt Morgan, partner at Morgan & Morgan for the people.
You're not going to want to miss that. Remember folks, the secret to wealth
is not what you earn. It's what you keep. Happy days, everybody.
This podcast is for entertainment and educational purposes only and is not intended
(10:18):
as personal financial advice.
Before making any financial decision, please do your own research and consult
a financial advisor as needed.
If you have a question for the guys, email podcast at bestadvicepodcastguys.com.
You're listening to the Best Advice Podcast, guys. If you haven't already,
give us a five-star review and help spread the word.
And if you have a question for the guys, email a voice recording to podcast
at bestadvicepodcastguys.com.
That's podcast at bestadvicepodcastguys.com.
Today's episode is brought to you by Security Financial Management.
(00:21):
If you're ready to level up your financial game, SFM offers a free initial consultation
after each episode. Just send an email.
To podcast at bestadvicepodcastguys.com with the subject line complimentary
consultation to book yours today.
Welcome back to Best Advice Podcast, guys. I'm your host, Rob Lavalio.
(00:45):
Here as always with Frank Lavalio and dad, it's just me and you today.
We are dropping like flies today, man. We have Dave and Mitch and Austin out
of town, right? Where are they? Nashville?
They're everywhere. everywhere everywhere they are everywhere hey the
birthday but the two best are left so yeah we
got the a team today guys per usual we
(01:10):
like to start our episodes with a powerful practice of positive thinking so
dad it's only me and you one of us has got to do it i think i'll go you go for
it but with that then give me something good that's not bad so for today's something
good But it's going to be more like an exercise, right?
It's going to be called the Silver Car Test, Dad.
(01:30):
So I'm going to ask you a question, right? Yeah. So how many silver cars did
you see driving here today?
And I mean, not like kind of saw, like you can think of a silver Mercedes or
you can think of a silver Impala when you're driving over here.
Well, since it's only about a two-mile drive, I did see a silver Honda and I
did see one. So I'm going to say two. Wow, you remember that. I do remember.
(01:52):
That's pretty crazy. Because it kind of had a cool back to it. Okay.
Interesting. Two of them. Now, before you left the house today,
if I would have told you, hey, every silver car you see and you can verify that,
you're going to get a hundred grand in your pocket. I saw a lot more silver.
There'd been a sea of silver. But if I told you that before you left, right?
Yeah. I mean, it would have started appearing out of thin air,
(02:14):
right? Silver, like all of a sudden you would see all these silver cars.
And I would have taken a much longer way to the office.
That's funny. I might've gotten a new summer and hooked around.
But the point here is simple, but it's impactful.
Just like the silver cars, your opportunities in life are all around you, right?
It's just if you're looking for them or not. But if you're not looking for them,
(02:35):
they're going to pass by just like every other silver car that passed by you
this morning. That's definitely true.
This experiment shows us the fundamental truth about human perception.
When we're not consciously looking for something, our brain filters out most of our senses.
It's basically a filter mechanism that helps us focus on what's important right
now. So how do we let these opportunities stop passing us?
(02:55):
How do we create a winning mindset to actively pursue opportunities?
The answer is pretty simple. You just got to find a way to keep your biggest
priorities in the front of your mind, right?
Some people do this by writing down their goals. Some people do this by visualization.
Some people do this by manifesting it. However you want to keep your biggest
priorities at the top of your mind is completely up to you.
(03:17):
But it really only takes a couple minutes a day to remind yourself of these
goals. And this is going to automatically focus your thoughts and energy in that direction.
I'll leave you with this on this. Give me something good today,
dad. It is the, I see only what the mind is prepared to comprehend.
And that is my give me something good. I like it.
(03:38):
Let's get to the question of the day. Today's question comes from Joey from
Altamont. Joey, what you got for us?
You want to say something? Hey guys, I noticed that the market really rallied
at the end of last week. and it seemed based on software employment numbers.
What does that really mean? Thank you.
Thank you, Joey. So today we got one expert. We only got one,
(04:00):
Dad. So you're going to have to come in with a work right now.
Go ahead and take off for us. Let's do it. Yeah, I'm used to that.
We're going to go for it. So, you know, good question, Joey.
And a lot of people are wondering what happened. The market was getting beat up really bad in April.
And then late last week and really into yesterday, Monday, it was better.
And so part of that question is, you know, what happened? We had a softer jobs report.
(04:23):
And it's very interesting because the Fed is in a very tricky spot.
You've been hearing about this for, gosh, over a year, year and a half about
this soft landing. And what does that soft landing mean besides soft?
Coming in your truck and not beating up your gravel. From an economic standpoint,
that means that the Fed was able to manage its way through this higher inflation,
(04:45):
but also be able to increase rates in a way that it doesn't put the economy into a recession.
So they've been on a tightrope now for at least a year, year and a half.
Is it kind of like a seesaw?
Is that how it works? I don't know if it's more of a seesaw than it is a tightrope.
And basically what they're saying is, and the reason for this most recent upmarket
here in the last couple of business days is the U.S.
(05:08):
Economy added fewer jobs.
And normally you'd say, well, how is that good?
Well, again, they're on this tightrope between not putting us in a recession
but also being able to come back because they raised rates so many times recently.
Recently, really what the economy wants and what really the stock market wants
is lower rates, because lower rates means borrowing costs are lower.
(05:31):
So if we can get inflation in check, then the Fed will lower rates.
So by having a softer job reports, that was good. So bad is good. It's kind of crazy.
Wage growth and it's unexpectedly cool. So you had less jobs and then wage growth,
meaning higher dollar per hour wages and increased salaries,
that's slow a little bit.
(05:52):
So that's what they call kind of a Goldilocks moment. Everybody remembers Goldilocks.
Goldilocks is a sweet spot for the Fed, meaning there's a softening labor market,
but corporate earnings have been strong.
Because if you look at earnings, I mean, at the end of the day,
you can have all, there's a lot of noise out there, right?
You got CNBC, you got Hamas and Israel. I mean, that is scary.
(06:15):
Is there going to be a world war? There's always noise and there always has been noise.
And the difference is our company's making money.
So then you have big companies, you know, that whole big magnificent seven,
which has been driving this market.
Two big companies reported in the last week. Microsoft, who's,
you know, took over Apple as the most, the largest, they have $3 trillion now of network.
(06:40):
He got me invested in a fruit company.
And so then I got a call from him saying, we don't have to worry about money
no more. And I said, that's good.
One less thing. Look, Microsoft and Apple reported here in the last several
business days, and they both were positive, right? So people are like,
can Microsoft keep this up?
All this AI hype, and is it really hype or is it real?
(07:02):
Well, in their cloud reporting, which is a big part of their profits,
they showed that AI actually increased real sales.
So what people want or what the market wants is AI is cool, but is it really working?
So in their Microsoft Word and some of their usable devices.
They actually saw a profit because AI helped them. That's big.
(07:24):
Yeah, that's big. So it's like it's like a lead and then executed.
So is it really going to work? Well, Microsoft showed in their most recent report
on their cloud computing that some of the AI they're incorporating is actually
working. So wait a minute. This is real. Yeah.
And the market likes that. Right. So then NVIDIA sparks.
Right. And then Apple, who everybody iPhone sales in China have been very soft.
(07:46):
And all the doom and gloom was saying, oh, Apple's going to get slaughtered
this quarter. Watch out. Should you sell?
All the analysts were weighing in. Well, what happened?
They, you know, they're, they're wearable, you know, the iPhone watch and the,
and the iPad and a lot of other areas that have been super profitable and their service industry.
Think about how many millions of devices that they're using every day.
(08:08):
It's like, I mean, think about people come to work, they got an iPhone watch,
they got, they got their iPhone and you're plugging in your car.
I saw this guy at the court side of the court or the best playoff games, NBA.
I saw a guy on court side and he had those big new goggles on.
And he was like standing up and he was moving his arms.
I'm pretty sure Apple had to pay him to do that because it was like marketing.
(08:29):
But it seemed like that didn't do well. But even when they didn't do well,
it seems like they're doing well.
Yeah. And to that point, Robert, that device is going to take off a little bit.
So they were actually down 10%.
China's sales on the iPhone were down 10%. And China has just so many people. That's a big deal.
But they made up for it in other areas. And the market's like,
hey. And then they bought back.
(08:50):
Billions and billions of dollars of their own stock which is the
reason why the market likes that that's a vote of confidence right
yeah we don't care about what you're doing but we're going to buy billions of
our own share so watch us win it's almost like insider trading a little bit
it's like we're going to buy our own stuff because it's there they're allowed
to do it i mean it's the scc registered they have to apply but the cool thing
(09:11):
is it's when a company says we know we're so profitable we're going to put we're
going to buy billions of shares yeah and And then everyone's like,
wow, that's probably, they believe in themselves.
They see the day-to-day too. So they know more than anyone else does about what's going on. Exactly.
So, you know, Microsoft reports, Apple reports, and earnings really,
(09:33):
really are an important factor of driving the market.
Again, there's noise everywhere, but at the end of the day, are these corporations making a profit?
Because that's why we buy the stock, because if a corporation is profitable,
it increases the share value.
And that's what it's all about. out. So we're going to be brief today,
but wanted to make sure we answered that question, Joe.
Hope that answered your question and everybody have a great day.
(09:56):
That's perfect, dad. It worked right. Next week, we have a awesome,
awesome special guest and Matt Morgan, partner at Morgan & Morgan for the people.
You're not going to want to miss that. Remember folks, the secret to wealth
is not what you earn. It's what you keep. Happy days, everybody.
This podcast is for entertainment and educational purposes only and is not intended
(10:18):
as personal financial advice.
Before making any financial decision, please do your own research and consult
a financial advisor as needed.
If you have a question for the guys, email podcast at bestadvicepodcastguys.com.
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