The Morning Edge September 29, 2026

Good morning. How is everybody? >> Loss of human life. >> Good morning, trans. >> Good morning, everybody. >> Good morning, Willie. >> Good morning. >> Morning, James. Oh hopefully >> today. Tuesday or Wednesday? Tuesday. >> Tuesday. >> Tuesday. >> Tuesday. >> I was telling Trent we got another round of we've been having just weeks of four or five inches of rain a week. It's coming out of the Pacific. All those hurricanes and now we got another one coming up. It's going to hit this afternoon for three days of five more inches of rain. So, we normally like rain, but not when it floods all over the place. So, anyway, we've turned into tropical Midwest. Soon you'll have palm trees. >> Maybe. >> There you go. >> Until until about three weeks when it freezes, then we'll have snow storms. >> There you go. >> All right. >> Wow. >> Anyway, >> who cares about my weather? All right. Here's how we ended yesterday. Uh oil was up. Uh yields were up yesterday and and so the Dow got hit. uh S&P down threequarters of a point and almost a point on NASDAQ and over a point on the NASDAQ 100 and today we're just well you could call it not fantastic you know 91 points uh is only 0.18% not even a fifth same on Oops where did that go back come back there we go um and we look over to uh the bonds and you can see oh the bonds ease as inflation uh concerns persist. So the down by 025 is easing but we're still at 2.17%. And we can go down and just take a look at at all of them. So 10 years at 5.21, 30 years at 5.54. So there you go for your mortgages. Um and the two years, you know, 5.9 or 4.91. So of course the 5% also on the yield. So the yields aren't easing all that much uh even though they say they're easing. Oil uh oil is is is uh down in just a bit in 103 90. Uh quite a bit of a spread between West Texas and and Brent. Gold uh up just a little. Silver's down. And then we've got crypto actually Bitcoin up a little. I think we're at 83ish yesterday. 84 right now. Ethereum up to uh 2700. So, Ethereum uh Ethereum enthusiasts should be happy about that. Uh what else we got? Uh this busy news day. Uh let's see what we got. Uh Meta launches a Muse for small business. Okay. So, uh they were, you know, just for regular consumer AI. Now they're they're they're doing this Muse that they did a week or two ago for consumers out to small business. We'll see what that does to stock today. But uh you know it's up 25% this month since they did that. So they're pushing into the business world kind of infringing on their competitors just a little bit. What else we got? Uh as creators sound the alarm while others keep building the infrastructure. So we have more alarms out there about the death and destruction that AI is going to cause. And and Nvidia's launched a platform that allow prevent from breaking down. Panthropic said its perspectives that advanced AI could pose a catastrophic or existential risk to humanity. That's something you want to put in your IPO paperwork, isn't it? >> It is. >> Yeah. Samsung Electronics will invest combined 1 billion in AI infrastructure, Helix Digital. Australia Central Bank on Tuesday raised its rate to 4.6%. Uh so again, this whole thing about AI, it's all they talk about. Uh anyway, uh what else we got? a smart ring maker or I think you have one of these, don't you Trent? >> I did until it stopped working, but yes. >> Oh, may Well, that's why they postponed an IPO due to uh quality issues on Trent's ring, I think. >> That's right. >> So, so when it stops working, does that mean your life's over? You're like, "Oh my god." >> Uh, no. I'm still here, Mark. Um, this is not a hologram of me. Um, this >> I thought it was an AI image. Um, I think it I think they just have a lifespan for about two years. >> Okay. >> Yeah. But at $500, they're they're not cheap. That's for sure. >> So, they're they're they're postponing due to market uncertainty, which is interesting. Um, >> smart. >> Yeah, probably. OpenAI abandons plans to release upcoming model as safety concerns escalate. So they're open not the GTP GPT 6.1 Astra model head of safety system said the model didn't quite meet the bar in terms of staying within scope and authorization and how it communicates back uh to the user about the type of work it's done. uh heads of open a topic both indicated recently a top AI lab should slow the pace which is interesting to me and Tren and I were talking about Reuters uh just came out uh they re uh they released or leaked the anthropic IPO perspective and in 2025 I think this is why it's happening the net loss was 42 billion in 2025 for entropic revenue grew 12fold to 4.6 6 billion. A company lost more than 8 billion in operating on an operating basis. Compute compute spend was up 58% of operating expense. Uh basically they lost $2 for every dollar they made in sales. Core of the revenue comes from just two customers and a majority of the largest customers are not uh uh hooked into long-term contracts and can cut or stop spending at any time. And on top of that, token prices are at record lows. uh and the frontier token demand is decreasing as uh Chinese AI opensource uh tokenization. It makes everything cheaper. So I think they're really in financial trouble, Trent. And uh they they're looking for just to make a comparison potential too big to fail bailout. That's why they're all over the place now in the government wanting the government involved in it. Any thoughts on that? Um, I I guess I when you look at this and if these numbers are all correct that were leaked out, if you this wasn't AI and this was just another sector or company, how would we react to that? Would we just be like it's a we're not there's no way I'm touching this? Um, or would we be more forgiving, which I think people are of AI and these companies? Um, I honest I I think you have to look at it from just a a fundamental standpoint of can they can they become profit a a profitable company and when will they become a profitable company and I think the headwinds that they're facing is the the commoditization of what they do and um these open model programs and we can outlaw in this country yet that doesn't mean everywhere else they're going to outlaw it, you know. >> I don't think they're going to try. I don't think they're trying to outlaw them. >> What? Open open source. >> Well, no. Yeah, open source maybe. I don't know. I haven't heard that, but that that would be logical for them. I mean, that's what's been thrown around, but I think at the end of the day, it's it is I honestly I think AI's almost gotten way ahead of itself. You know, it's way over its skis at this point. And, you know, instead of developing at a slower pace, um, so they could work out the bugs, so the security elements are not as risky, but also the financing of it. Um, but I think a lot of this goes back to the fact we haven't had anything really brand new since 2007 and they all jumped on it because they needed it. And now look where we're at. >> It'll be interesting because once they do officially go for their IPOs, they're going to have to, like I said, open open Kimona on their financials. And it >> Yeah, >> it appears it's not going to look very good. Well, I think that's been already, you know, already, you know, assumed. It was not going to look good. Now you're seeing it, you know, through the Reuters report as depending on how accurate that is. It's not good. And so, if it's going public, would how would you look at it from a purchasing standpoint? Should you own this? Is it worth the gamble? Or do you wait for it to figure itself out before you buy it? you know, especially a $2 trillion valuation. I mean, >> a company that doesn't make any money, >> right? And is burning money so fast. >> Two companies. Yeah. >> Yeah. How do you keep up with that? So, okay, you go public, >> you get two trillion. How fast you burn through that? >> When will the investors say enough is enough? and say, "Look, I don't see any any path to me getting paid back in my lifetime, okay, with the money that we're putting into you." >> Yeah. >> Uh and it goes back goes back to circle financing, too, and all that and everything we talk about. >> Yeah. I think you got you got to look at it from no different than any other industry or sector >> except this is 20 times bigger. Well, it is, but I mean the point is is if it doesn't make money and doesn't isn't projected to make money anywhere in the near future, um, you know, is it a good investment? >> Well, and again, we don't have the we don't have the information in front of us that's required to make that decision because they haven't come out in the public yet other than what Reuters leaked and that was just a preliminary perspective, >> you know. >> Yeah. >> So, we'll see. I don't know. I to be honest with you, >> I hope they I hope it doesn't disappear. >> I don't think it's going to dis I don't think it's going to disappear, but I think they're there's I think these guys are scared because they they see the writing on the wall if they don't keep this going and and they're seeing these token prices come down and competition from open source. Uh also competition from the hyperscalers. Um >> yeah, >> I don't know. Anyway, >> uh here's something we've been talking about. Nearly half the stocks in the S&P 500 are cross purposes with the rest of the market. And what they're talking about here is uh are moving against the index. We talk about that all the time. I talk about with market breath. Uh yesterday the advancers were 31.7%. Decliners were 66%. Under the 50-day moving average, 71%. Okay, that's not that's really bad. I mean, I can't tell you how bad that is to try to trade against that, you know, unless you're shorting uh below the 200 day moving average, 60%. >> That's just a horrible, horrible market as far as market structure goes. Only three sectors were up yesterday, XLP, XLV, and XLE, and that was it. Uh I mean, I keep track of this, you know, daily, and I've been doing it since March. I've been said that the market is is strained and the structure is broken and it's not broken in certain areas but a very narrow area of AI spending. Okay. And and we got Micron coming out I think tomorrow with their earnings. Uh and we'll see. But if it you're not into certain areas of the AI or tech, there's some pockets out there that the software uh cyber software has has picked up a little bit, but these aren't big areas that are absorbing all the money that's gone into the AI side. So, it's very narrow still. So, it still scares me a bit. About 45% of the stocks have negative three-month beta according to recent note from Goldman Sachs. aligns with CNBC's findings and it aligns with my findings also which I've been telling you guys about for quite a while here. So anyway, they're finally catching up with us here a little bit. Trent, Anthropic launches cheaper AI model, it second release since CEOs called for a slowdown. So we got Open AI delaying their models. Anthropic is pushing another one out called Sonnet 5.5 faster lower cost offering from the company a lower cost. So that we're in this price war which I wrote about last week. uh marks uh second launch uh since Amodi urged AI companies to slow okay um doesn't have advanced frontier of its models capabilities but it's a better at coding and knowledgeable work tests uh than its predecessor so we're still releasing even though they're out there saying don't you know let's slow down I find that a little ironic Trent >> okay I'll take that uh Elon Musk SpaceX subpoenaed by New York City and AI safety investigation. So even municipalities are getting involved in this. I'm just saying you look at that you look at what the industry itself is saying we need to slow down although we're not slowing down. Uh and then uh you know we've got data centers being delayed. So take that in put it in the back of your mind as you're looking at some of these charts that have gone up and now have kind of stalled out. Uh and just you know you risk manage I guess is is what I can say here is to the best of your possib possibilities. Uh AI spark openai was actually trying to buy hugging face it looks like before after they they hacked them. Maybe they were hacking them for their financials. I don't know. Uh but the video got it instead. I thought that was interesting, too. >> Yeah, I think Nvidia saw the the writing on the wall there and said, "We need to take this away from them." >> I I think you're correct there. >> Let Let me show you who is who is Papa. >> I think you're right. Okay, we'll look at some some charts here real quick and get over to Trent. Uh here's your uh heat map uh from yesterday. Uh really Nvidia is really all green. We had a few here uh in software. Crowd Strike, Pal out Networks, healthc care had some green energy a little bit on the big guys and some just consumer defensive but you know when you're at what 31% advancing 32% advancing 66% declining u it's just not a good market you know anyway I've been preaching on that for a while here's how we ended we already saw that here's your S&P still sideways within this box closed down we opened up closed down right on the nine Uh same story as we've had for quite a while here. Okay, we look at the cues, you know, the hyperscalers of the mags have really made this kind of pop up uh and but right to resistance and now we dropped down, opened higher and got lower and the oscillators are kind of evening out a little bit. Dow Jones uh topping tail candle here interesting on the downward side. We're seeing that, but we saw it here too. And we just continue in this downward trend uh on the Dow Jones right to this level. This was a level of support which we've closed under or we tried to get above but the trend is definitely down in the Dow Jones. So the equal weight this is where all everything's equal. Okay. Nvidia equals the number 500 company in the S&P 500 as far as value in this. Uh and this shows us that when you look at everything equally uh the market is down which it should be. we we talk about every day advanced decline lines below the 50 below the 200 and that's what that means the IWM okay the small capsu downward trend for a while right to a level of buy orders down here we'll see if that holds but we're getting uh dangerously close to the 200 mags okay now the mags have have moved up uh you know the NASDAQ and here we are at this little topper here and haven't been able to close above it in the last five days so right down below the the nine again resistance for four days in a row even on the mags. We look at Nvidia topping tail in Nvidia. We'll see if that holds out. Had one here. We didn't get past it. Dropped down. Here's another one right on the resistance level. So, we'll take a look at that. Uh and see what happens today in the market. Uh Google, not a topping, but you know, it got beat back down. You got the the the wick on the top side, pretty good size wick, and down we went. We're fighting the 200 again on Google. Microsoft uh couple days ago came out and right up the resistance and uh we're just sideways again. Much like the S&P uh Meta had a big dump yesterday. We went up the resistance, came back down, didn't quite close above our high, closed below resistance, and now we're back down to the nine. We're seeing some uh some movement here. We'll see what happens with Meta today. that maybe that was just profit taking. We had a big old long uh you know uptick in in price action and so you'd expect some some kind of a of a profit taking. Apple continues up uh and to the right had this tail here and we haven't closed above that yet. We've been down ever since. We're still getting you know some feed some fight when we get a little bit of bid that comes back and the bears take over a tad bit. Amazon still down underneath resistance, underneath the 50, underneath the the nine, coming down to the 200 again. We fought that before, but if these things start dropping below the 200, these are the mega caps. Um, it'll take the market down even further and you'll see the the equal weight down also. If they turn around, they'll keep it up. Uh, here's Tesla. Tesla kind of finally broke below its lower trading band here two days in a row. See, we had these topping tails here. couldn't close above it, tried to close below it and then just dropped. It's kind of kind of looking like the the Netflix chart to me a little bit. Palanteer with the software came up, hit resistance again. We're starting to see some fight here, you know, where it come up and it fights the price back down on a lot of these charts. Netflix again down right to a level of buy orders, but went through that a little bit on Netflix. SpaceX uh even though they had a nice rocket launch yesterday, I think it blew up when it landed, but it was kind of cool to watch. Uh 145, so still under that 150 level, but steady. Okay, so we're kind of in that steady, but for the last three days below the nine, we're starting to see it roll down. And look at the oscillators roll down. So we have some support about 140 76. We'll see if that holds up or not. XLP, these are the three uh that actually went up yesterday. XLP went up by a quarter point. Uh got a little bit above its downward trend line right up to the nine and came back down. But still uh the trend is down, but we did hit support for a couple days here. We'll see if the XLP, which is consumer staples, things we need. Uh see if that turns around a little bit and we'd have to get back above that 200, but we're below the 200. We're below the 50 on XLP. And it was the best performer yesterday in sectors. Well, actually XLV was uh healthcare still hanging in there. still hitting up on that resistance level. You have an upward trend, but it hasn't got past that resistance. We got sideways moving Ballinger bands and then XLE was up about 0.1% energy right back down to a resistance level tapping on that 50 on XLE. XLR this is real estate continues down below the 200 below the 50 on XLR interest rates are up yields are up. XLB below the 50, below the 200. This is materials did go down and touch on where the seller or the buyers were. Came back up a little bit. So maybe we're starting to see some of these maybe bottoming out. It's not confirmed yet. Here you got the XLU down getting pretty close to where the buy orders are right on support. So we're starting to see this utilities. I've been watching utilities to see, you know, if it'll actually at some point flatten out. So for the last three days kind of flattening but we still have you know some buy orders down below what is that 3882ish but below the nine below the 50 and below the 200 XLK technology this is one that's above the 200 above the 50 but flattening out just kind of like the S&P so S&P are really tied into technology along with the NASDAQ XLI another one's kind of come down under the 200 under the 50 kind of flattening out a little But we do have buy orders underneath that also. So again, you're seeing these sectors under the 50, under the 200. Here's another one under the 50. This is financials. See this distribution pattern. We were up here. You break one way or the other. Broke down. Uh and now we're getting dangerously close to the 200 already under the 50, flying down the Ballinger band here on financials. XLY, a consumer uh select spider. Uh again, here we are below the 50, below the 200, uh below the nine, and we actually blew through some support that we were kind of flattening out on. Uh and down we go. And this is a consumer. These are the things that we want uh and don't necessarily need. XLC communication services. This has three hyperscalers in it. So, it moves up and down with that, but down below the 50 and below the 200 on communication services. Again, another sector. You look at the market in whole and you see that it's and you see it in the RSP that the market is not as rosy as as we're a percent off the highs. We're only a percent off the highs because of one area basically. And here it is. Semiconductors right up on resistance and then pop back down hit where buy orders were and we're just kind of in that range uh for us uh for the semiconductors. Uh Taiwan semi was up yesterday half a point right to resistance within its channel. We got Broadcom still below its 200 uh and below its 50 and actually broke through a little bit on the uh on the uh intermediate support level and we do have some buyers down at 339 and we closed at 349. So 10 points below that. ASML uh nice run on this. We've had a nice move up right to resistance. We did pop past it a little bit yesterday after four days trying to get past it. We'll see if that comes back and retest and takes off again. ASML, you know, good company. Nothing wrong with this company. And if you're going to, you know, buy machines to build chips, you're going to come to ASML. Basically, applied materials, uh, nice run up, find a little trouble on the 50. We got some sell orders right above that. So, we're seeing a little bit of a turn on some of these, which is causing, you know, the NASDAQ and the 100s, uh, to pretty much, you know, stay same. And again, here we are flat again on Marll. Uh even though we've had a nice run up, we're just running into a little bit of stiff resistance. AMD, you know, had a nice run up, a little bit flat here and then came back within U in the Ballinger band, you know, and this could come down and hit. We do have resistance right above it and then some sell orders above that. uh MU again these are big big companies now and when they go up or down they move the markets and they're just kind of sideways and that's why we're not seeing you know record high after record high like we used to we're seeing touch record high come back down play around maybe touch record high come back down play around SK Hanik move through the uh through the nine right down to the 20 uh boingers or not boingers oscillators turning down on SK Hanik uh SanDisk kind of same thing came up to sell orders back down now below the nine. So, SanDisk again just kind of finding this flattening off to down. Intel, same kind of thing. Corewave uh came up. We were trying to play on the on the 200 again. Now we're below the 50 right on support on core. Nibius uh you know, you look at it, you still have an upward trend, but here you got this uh these uh kind of spiking uh upward uh wicks uh showing that there's there's really some pressure pushing this back down. we thought right here, you know, it it might be continuing up, but we're still above the nine and the 20, but this candle doesn't give me uh any good feelings at this point. Here's our swing trade potentials, which are still not really there for me, but they are, you know, at least in a market like this, they're showing some positives. TJX still not there yet for me. Way too close to where the sell orders are. Southern Company still waiting, you know, for utilities to flatten out. And you see our utilities XLU looks just like this chart right here. So not yet not yet still on support but you know we have these big downturns and when you consider what the market's doing on a broad basis you know there there's very few of these companies out there and this is what you see below the 200 below the 50 you know 70% below the 50. Here's TDG same kind of thing below the 200 below the 50. Here's Curtis Wright. Uh kind of fell off down and used to be support up here. Now the support level has moved down. Still nothing to look at. O'Reilly keeps trying to push itself up. Uh gets pushed back down. So we're basically in a sideways situation. Martin Marietta uh right down on a little bit of a support level, but still under the nine. Still in a downward trending movement. This is again materials. HRL Horell not very exciting. Uh but down here right here on support uh just I think the I think the distributions on this are 5.6% now. We'll see if they hold that at all because the price comes down and the amount of of their distributions the percentage goes up. Now some companies they see that they'll lower it and others you can get a pretty good deal. If this comes down you hit it here for a longer term you got 5.6% 6% uh and it starts rolling back up uh then you've hit the jackpot as far as you know distributions because you're at 5.6 and you got a a price that's moving up. We're not there yet, but that's why I watch some of these guys. DuPont, uh nice little turnaround DuPont. Unfortunately, we're just playing along the 20 uh and sideways were consolidating and and binges are converging also just nothing out there, you know. But I wanted to show you what I'm looking at. uh realy income uh this is O uh good company that they pay out their dividends every every month uh has come down for four days on this support level. I want to see that this will turn around and you've got some sell orders right above it. Uh but again for like a dividend investor you want to get your price as low as possible so your dividend yield is as high as possible. And so that's why I'm kind of looking at these good companies just get caught up with the market just kind of, you know, the tide's going out the majority of the market. HWN aerospace, same kind of thing. Sideways, I like this. Not quite yet. You know, this a slow market when you got advances of only 31%. Uh you're happy to see at least something go sideways to up, you know, uh on in the regular market. ISRG tell you this was kind of the cleanest or dirt cleanest shirt, the dirty laundry that continues up but right to where the sell orders are. So if we can get past that, your next level is the 200, but even this one's below the 200 as many are. Amgen. So Amgen's like another cleanest shirt in the dirty laundry. It's got a little bit to go. And Amgen's above the 50 and the 200 had this this m this uh this big gap down and it's starting to slowly fill that gap back up. So there just a few little things out there. If you want to take the risk on it with this market and you need to trade, there are some things out there that would interest you. ALY. We watched this one. Did get above the 50. It's above the 20, the 50, and the and the nine right now. Uh, and uh, it's kind of slowly moving up. Be careful. Right above you, you got the Ballinger band and some sell orders about is that 26824, but I'm not I'm just not seeing anything that really excites me on trades here. You got Rockwell Automation have a lot of these wicks to the upside. Just not much movement even though they're above the 200, but he's above below the 50. you know, got 70% of the stocks below the 50. We're going to see that a lot. JBL is fighting that 50 a little bit. Had this topping tail candle and then down we went. We couldn't get past it. I'd be uh careful on JBL. Now, where the money did go, uh Palo Alto Networks yesterday up four and a half% but right on resistance. OKTA uh was up uh three and a half% right up to resistance. We see we wicked up to the sell orders the other day and back down. We're still above the nine. Uh but there's a pretty good level of resistance there. Crowd strike was up uh 2.8% but right back to resistance. So again couldn't get past our top there. We'll watch them. But this is where kind of the money flowed back in and again met CloudFare uh back up to the top right where the sell orders are uh but back up to resistance. So I don't see anything that really says yeah I'm going to scream buy into that on a swing trade. Uh but that's where the money went. Fortnet was up one and a half% right up to resistance. So, I've just not seen anything. It's hard to see when you have market breath the way we do when we have all these companies under the the 200 uh and under the 50. It's just hard. Uh so, I'm just being patient, you know, and it will turn at some point. Uh it just hasn't turned yet. Oops, that's not the one I want to share. Go to Bitcoin real quick and I'll be done. here. Bitcoin interesting on Bitcoin. I mean, for here's that bull flag we're looking at. If it comes down, bull flags usually break to the upside. Not always, but we're still fighting on that that 82ish,000 uh support level. We're at 842. Uh, you know, and in a bull fight, F the probability, you'll see it pop back up. Then we want to get back into this level over here from, you know, 84 up to 94,000 95,000 if we can do that. But pretty resilient on on Bitcoin still uh on price-wise. You kind of watch the oscillators a little bit turning down, but that's because we've had this downtrend, which is what you usually see a bare foot or a bull flag or a bull penant, and we'll see what pops out of that at the end. All right, Trent. Yeah, I got done kind of early today. >> Very. All right. Uh, let's take a just real quick breeze through the funfilled world of um, see if I can move some of this so I can actually see it. Um, how do you get rid of this control panel? Okay, there we go. >> Um, there you go. Uh, move index on the bond market continues to move higher. It went up yesterday 6%. This is remember what we're watching is not the fact that yields are going higher but at what pace are they going higher and uh velocity is very much the enemy to um to refinancing to uh the equity markets and we are still in a very high moving yielding market. I think I saw the 10ear got to 4 point uh mean 5.2 28% intraday yesterday. Um, which is it didn't hold there, but it definitely moved um higher uh versus the day before. So, this is a really just a continued concern to me. Um, you have the uh uh US 10-year um real yield u comes in right around uh 3.4% versus the 5.2 23% we're seeing remember you subtract inflation from the yield on the tenure and that is truly what you're getting paid. So the biggest um enemy to us right now is inflation and that seems to be continuing to go higher um which is uh tough to you know for us as consumers. Um so uh let's see here. Um okay so I wanted to talk about an opportunity. Um I have talked about how energy is one of the biggest um things I believe that that is it is the puck and um we are headed towards it and we are demanding more energy out of uh for data centers just in general as a population in the world we're demanding energy just in general and um I wanted to focus on a company called ocean uh trans ocean limited they are the uh purest liquid could bet on deep water drilling left in the United States market. It rents out most advanced floating oil rigs in the world by day on a multipleyear contract. Now, um this is one of those companies that you see in the uh you know on TV or on the pictures where they are basically renting build rigs or have a fleet of rigs. uh right roughly right now about uh 45 uh excuse me 67 rigs and that is shallow water rigs. So rigs that you can see from the coast we can see them if you go over towards like Mobile Alabama and Gulf Shores area you can see rigs out there. And then what is becoming more and more popular is deep drilling or uh hazardous environment rigs. And these are rigs that are in the North Sea. These are the rigs that are going way way out into the ocean and drilling. And Trans Ocean is basically the captain of the deep water uh drilling ship. What um what I what is interesting about them is historically they have had a free cash flow um run of about $94 billion a year. Um yet in the last year or 12 months they've uh jumped to 870 million um excuse me 940 million in free cash flow over the last five years on average but in the last 12 months it's gone up to 870 million up 151% from 346 million a year ago. Um and it it continues to rise year-over-year. So, their free cash flow is basically, if you think about it, um, for every $100 of stock, the business generates $17 in spendable cash. Okay? So, um, right now the stock trades at a 07 book to value, meaning that you're paying.7 cents for every dollar of assets on the books. Uh, operating margins went from 6.8% to 26.2% 2% in in a year on a in a year on only a modest revenue gain. This is a fixed cost business. Once a rig is crude, working most extra revenue drops straight to the trade to profits. Earnings are catching up. Uh there have been three straight profitable quarters since uh the 1.9 billion impairment loss that they experienced in Q3 of 25. The rigs are scarce. A new drill set uh costs close to 1 billion and takes years to build and almost none have been ordered during the last downturn. The last downturn was in 2014. There has not been a new rig built and deployed since then. There are rigs that are in half development u that have been sitting basically for um the last 10 years and will not ever go out to market out to ocean and to be used. And the biggest reason for this is is because the CEOs uh and you know CEOs and board members of these companies says such as Trans Ocean do not want to take the risk of doing this um as they did prior to 2014 because it's such a major expenditure of a billion dollars per rig. And if you get into more like uh hazardous environment rigs, it's even more than that. So the risk of taking that building one of those and it takes years to build one. It isn't like they build it in a year, they build it over probably three to five years. So they're looking at going we're not building any more rigs, which creates scarcity uh within uh the industry. So all you have is so many rigs. So many rigs are uh cold stacked, meaning they're not functional anymore. Um the argument is that you could go and take an existing rig that sits basically idle out in the ocean, pull it, move it to a new location, and uh put it to work. Uh but the way the industry looks at that is one it's going to cost over hund00 million to do that but two the more rigs they put out in the market they decrease their daily uh price point uh for which they rent out and right now they're renting Trans Ocean is renting rigs especially the deep water rigs at 400 about $460 million a day. So to scalp themselves uh in doing that would not be good for them or the industry in general. Um what else? They are about to do a they're right now in the process of buying Versal which is another um rig company. Um and this is a uh for every one uh share of Versel they're giving 15 shares of uh Trans Ocean. So it's a all stock deal. Um and uh what it will do is it will add on about a billion uh just over a billion dollars in debt onto their books because they're absorbing that from Versel. And that puts them at about a $6 billion uh between six and seven billion dollars in debt. Um the market and stock price reflect that. Um but what the market is reflecting is the last 15 five years of free cash flow at about 94 uh billion. Um what it isn't looking at is the 151% increase in that. The other side of it is it puts them at about I believe 67 rigs overall. The majority of uh there's so they've got what I call um um shallow water rigs and then you have deep water rigs. And right now the biggest demand that's coming online is deep water rigs. Um if you look at the Middle East and the war that's going on between us and Iran, um a lot of those short um or uh low what is what did I call that? Low water or shallow water rigs have gone offline over in the Middle East because of the war. One was actually bombed uh just out of side of Kuwait. Um, but the deep water rigs are all still functioning because they're so far out into the ocean. It's not it's not enduring the conflict, but we're seeing more uh rigs, deep water rigs go online or going online over the next three years. Um, it takes about 18 months to put one into function into working. Um, these are not short-term contracts, whereas a rig to drill a hole uh on land, so onshore uh rigs takes about two weeks. So, you can get your production level going pretty quick. With a deep water rig, you're looking about 18 months before it's actually up and running. So these contracts which is very favorable to Trans Ocean and the and its competitors is that once you get it running they run for decades. So they'll run these things for you know 20 to 30 years. So what and what since it's based on a per day um uh rate instead of per barrel or whatever it's based on a per day rate once that contract is signed in then uh it's good for the next say 10 20 years 30 years it doesn't fluctuate so this is where I look at this and I go okay this is a company who has pricing power so if you have a rig that is now coming is just at the end of a contract and you negotiated it at, you know, um I don't know, let's say $200,000 per day, you're now jacking and depending on where it's going, if it's a real hazardous environment rig, you're going into the 500 plus 500 to $600,000 a day rate. Once that is deploy, the rig is put in place and running, it's fixed cost. Once the metal is paid for, once the the crew is covered, it all becomes profit. And I look at this as this is what I want to see in a company. This is actually what I want to see in anthropic is that they put their, you know, they spend the money, they put the, you know, posit then they work through their debt and then they start making money in the next, you know, three to five years. I don't see that with AI. I don't see that with anthropic. I see that with this. And because we are so dependent on energy, you know, we have to have shelter, we have to have food, and we have to have energy in this world to function. This is going to be, I think, a big opportunity. Presently, it trades at 528 a share. Uh it is down. Um I have a price uh range of five 466 uh upwards to about 620. I've just put an order in yesterday, a limit order at five bucks. So, I'm building a position of 12 companies, 8% maximum in each position. So, I'm taking, you know, I'm at, you know, uh, two or 3% overall allocation to this in the beginning, but I look at this as the opportunity. If you're looking for a company, according to Ask Samantha, this is a company that will double in the next three years. And at that price tag, that ain't all that much of a stretch, especially since once they uh get this versatile deal done um this year, 2026, they'll they'll they'll nail down that they'll finalize that deal this fourth quarter of this year. 2026 is a wash. 2027, they start to generate about 1.1 billion in free cash flow. In addition, that can then be paid towards their now what will be six to7 billion dollars in debt paid to that in roughly about three and a half years they can become bring it down to about a one and a one and a half to two and a half billion dollar debt load and become more reasonable and I look at that as a incredible opportunity over the next 36 months of doubling our money especially with the demand of energy and petroleum And honestly, I look at this Iran, US, Israel war. I need to start encroing Israel into this because I think they're the biggest pusher of this deal. Um, uh that that is not going to end anytime soon. And so petroleum and oil demand is going to continue to go up. And this is could be an opportunity for this, you know, ocean trans ocean to capitalize on this, especially deep water drilling where a lot of the the money is is really is and the demand is becoming more and more. I see this as a opportunity to start acquiring positions of this. I like the fundamental direction it's going. um stock. Well, technically it scores a 32 on my 1880Q scorecard uh because it's trading below the 200 because it's trading below the 6200. But when I look at the fundamentals, the fundamentals don't score much better. And that's because the scorecard um looks at the last five years versus the last the the progression of change uh over the last eight quarters um in its free cash flow growth. I look at this as this could be one of those diamonds in the rough um and worth taking a look at a deeper look at and um in my case acquiring a position over as it comes back towards its 466 low end of the price target I've calculated. So that is where I think the puck is headed and as well as natural gas and that whole uh gig. Um and as more data centers come online and we start to free up the red tape, cut through the red tape of of data center buildout, I think that is the other opportunity as I spoke about last week. So it's a matter of timing, it's a matter of positioning and it's a matter of patience in my opinion. So that is what I got, Mark. >> Nice. Appreciate that. >> Yeah. >> Yeah. You know, these little things that people don't get to think about. Um, >> you know, I appreciate you bringing those up. And I lived in Houston for a while in tech business, but all my neighbors were oil executives back and, uh, interesting. Definitely an interesting uh, industry for sure. Very heavily. Takes a lot of money to to make it work. Well, and the thing I didn't realize, I knew this the impact of 2014 on my brother-in-law who's in oil and gas. They make pump manufacturer pumps and valves for oil and NASCAR. And since 2014, it has been a struggle for his company. And I didn't realize the level of impact 2014 had until I started really digging into the oil industry and the, you know, the no drilling um periods of time we've had with, you know, the the Biden administration um and now with uh the drill baby drill administration, it takes so much time to get it going. And I think that's where I look at this and I go, oil and gas is not going away. We are not going to replace it with green energy. Uh we still need oil and gas to to fuel green energy because of what it, you know, the products that go into this. So I look at this as an industry that has been beaten up for the last 12 years. Um you know, it's been chastised in the media. Yet um now we have a situation where supply is dwindling, uh reserves are dwindling, and we have a a a war going on with a country who is relentless and won't stop. Um and so I see this demand for this really increasing. And if you have a specialty company who is going to depths of the earth that most would never want to go. And actually I got to thinking about could you imagine working on a rig for one of these deep, you know, hazard, you know, hazardous environment rigs out in the North Sea. How much like nobody's gonna nobody no life insurance company's going to insure you. uh you know, I mean, you're just out in the middle of hell and uh you're pulling oil out of out of the ground thousands of feet, you know, thousands of meters deep. >> Um >> and those and those rigs, from my experience being in Houston and people I knew are floating rigs, >> okay? So, they have motors and if you watch Deep Water Horizon, that movie, you'd never want to go be on one. >> And I we have someone in the chat who actually worked on the >> on those rigs. So, that's interesting. Yeah. Okay. >> Um, uh, let's see. Yeah. So, it's interesting. I mean, they have helicopters that bring them in and out and hell ports and and, uh, it's pretty interesting interesting business. And, uh, I knew a lot of people in it, but it's it is a very volatile, too. And when I worked at Compact, our our facility when we built it was up in the old oil section of Houston in Cypresswood. So a lot of our people were buying houses when oil was going down and and the oil people were selling their houses. So it's interesting interesting industry. >> It is. Yeah. >> It's amazing how you can go from zero to zero real quick in that. >> It's very cash intensive too. >> Yeah. >> We need it. You know, I always bring out a chart I have there. You know, besides oil and fuel, 600 over 600 products are made from petroleum from asphalt to tires to clothing. you know, >> what do you think nylon's made out of? >> Yeah, exactly. I mean, so it's not like it's going away. Your case, you know, on your phone, you know, is is oil based. Um, so it just is, you know, is what it is not going away. >> Uh, we had some questions about how did we miss light, you know, how do we find things? And I, you know, the way I look at light, I could go all the way back if, if you're a long-term investor and you're a Paul Tudtor Jones guy, here's your 200 and here's your 50. Had you just used the 50 or the 200, you would have gotten in a light back here in May of 2025, I'm just at 65. Okay? And you wouldn't have crossed the 200 yet. Okay? So, you would be at 921 just using Paul Tudtor Jones. You know, didn't cross the 200 since then. If you wanted to be a little more medium and you did the 50, you would have gotten out right about in this area at the 50. she would have gotten out at uh what 8.95 you know gotten in at 60ome 8.95 so it's not like I mean this is a long time to to to go look so it's it's really being able to screen stocks find the ones you like I have a list of stocks in every se over 30 sectors I have the top 10 list of stocks that I like that are fundamentally sound okay I don't try to trade stocks that you know, on hope, you know, I I just don't because if I get stuck with one, I want to have a good company. And so, you you have time to look at these. So, to say you missed it, I mean, I look at a chart and say, "Yeah, maybe here, but for a long time, you know, just those two lines there would have given you a pretty good uh, you know, result on light." Uh, so look at Omaha M ah and I actually own this. Okay, this is the covered call strategy for Berkshire Hathway and see had a distribution yesterday or today. Oh, today or yesterday. Uh pay date is the 29th. That's today. So distribution today. So you're going to see it go down. Now we haven't been past this level since about uh March of 2026. Uh and you can see, you know, you just got to watch it uh when you get in and out because you can lose your par value. It's it was pretty steady here for a while. uh and now it's down with the rest of the market. So if you got in up here uh and you and you kept the dividends and added them back in, you're probably doing okay. So my strategy is uh when I got in, it was it was back in this area. So I've got some that's underwater right now. So I switch over on distributions. When it's underneath my cost bases, I just buy more shares. When it gets above my cost basis, I'll either keep buying shares, which I don't usually, I'll take the money out, put it somewhere else. So, I'm always buying shares under my cost basis uh and then and taking the money over my cost basis. So, that's the strategy I use. Now, would I have my entire portfolio in a covered call strategy? No, absolutely not. I would never my entire portfolio in anything. Uh but that's it's an income base. Got to have kind of a strong heart and now we're just on the lower side and you can see why. You know, you've got stocks that are down, you know, advancers 31% 71% are below their 200 in their 50-day moving average. So yeah, so but I like it as an income generator and that's how I use it as a strategy. So got to know your cost bases, your NAV is going to come down uh at some point and you just got to have a strategy to take that. So I try to use the dividends to buy back in and out. Uh MW MW, where is it? Oh, didn't take MWH. Uh this is uh energy. What is this? Um move this over so I can see it. This will be energy. Uh energy. Oh boy. Here we are. You know, downward trend. We were sideways. Now we're underneath the the what used to be support now resistance. You got the oscillators moving down. I'd wait a little bit. You got some buy orders down here at 2231. Volume is okay around a million million8. Uh, but you got it's it's probably going to come down here to these buy orders. You might get another shot at it. Let's go out a couple years and just see what this chart looks like if it'll let me. Come on. There we go. I think that's it. Yeah, this one hasn't been on the market that long. We don't even have a 200 day moving average. We only have a 50. So, relatively new stock. Let's see. They do make some money. 30 cents there, negative 20 there. So they just started making they lost on that quarter and they they gained on this quarter. I don't know what they do. I would hold off a little bit because you are downtrending and you do have some buy orders down here and your oscillators are are negative also on that one. Keep it on your list though FPS FPS uh forgent. Oh yeah. Okay. This one's been kind of in the news a little bit. Had a nice big double top up here back uh in June. Uh, and since that time that downward, then we come back up. And you see why we're hitting resistance because we've had it here. We had it here and then bounced off of it over here. So again, we came up four or five days in a row. Uh, hit resistance and then yesterday we dropped down uh right here to buy orders at about 3612. We didn't quite hit that yesterday. Watch your oscillators. But until you get past that resistance level, once you do, you probably have another resistance area right in this area right here, which would be about 44. But you got to get past resistance there. Again, it's just tough to trade uh when the entire market is well, most of the entire market, majority is trading below uh you know, you know, major uh moving averages and the advanced decline isn't your friend at this point. So, be patient. TMV. There will be a time where we'll be able to throw a dart and everything will go up again, but we're not seeing it right now. Okay, what do we got here? Go back a little bit. Let me do it. >> It's a three times bare on the 20-year Treasury. >> Oh, 20-year Treasury. Oh, okay. Well, Trent, I'll let you talk to this one. This is three times bare. Um, so that means they're buying future and option contracts on a nightly basis. So they rotate every night. And what can get you after sitting through 10 years of having to take a test on leveraged funds uh as a financial advisor is that you could have a price on this of what is that say 20 4824. But because the future contracts repriced lower, you could easily open up 10 20 30% down. And once yields and if you look at the perform, you know, the behavior of yields here recently, it's getting less and less um movement to it's getting shorter like the volume isn't there as pushing these things up. And we may be at a top on yields in this case, a bottom on TLT. >> This is see right here. >> And those leverage funds will react really fast. So just imagine you're leveraging three times the capital in those funds. Um so be very careful of them. Um they're meant to be day trading uh tools. The, you know, institutions, hedge funds use them as basically scalping money from you and I. uh because oftentimes we buy them, we hold them for long periods of time and time deterioration happens and markets just manipulate them. So I'm not a big fan of them at all if you can't tell. >> I would concur with you. You got to be very careful in those >> if you want if you want the leverage. Um I think uh you know you just you you take a margin out and but be careful of that because th this and oil is something we are having is really hard to time. Um stocks are easier. You can get a better feel for that. But when it comes to yields and uh oil in general it is a hard place to to time where it's going to go. You know, I look at TLT here and I'm like, "Oh, this would be, you know, an opportunity, but who knows what they're who's gonna do what tonight or today, uh, when it comes to treasuries and you could just continue to lose your butt. So, just be careful. >> Let's go back. Let's go back 10 years if it'll let me if it's thinking. We haven't been to this level in over 10 years where it is right now." >> Yeah. And I mean, let's go back to the max and see if I can even see why that line's there other than that's where the buy orders are for some people. >> Yeah, >> we're still we're this is the max all the way back to 2003. >> Yeah. And has been Yeah. >> And we're below the max. >> Yep. >> So, if that's that should be telling you something. I've read where people are projecting the 10ear to be at four and a half%. I mean the the impact of that the my concern is how >> mean five and a half% five and a half thank you five and a half% >> my concern is how quick do we get there does it happen between now and April or does it happen between now and November >> I've heard 6% Trent in some areas with people I watch it's possible six >> and think about the average since 1980 or whatever I forget what the date was is about 5 and a half% on the 10ear you know. >> Yeah. >> So, we're getting back to just the norm. >> Yeah. Um but that but it's that velocity for which it's getting there. I mean, if you look at the last what three weeks, how fast the 10-year yield and and the you know the 30-year yield and even the five-year yield has has gone up. Um that is a cautionary sign in my opinion. Um, so yeah, one thing >> there's the multi- chart. >> Yeah, it's just down. So just be careful uh with those leverage funds. Um, one thing, uh, what is it? Um, one thing I wanted to address. You I had light up there. Yeah. Right. >> Yeah. And uh I think the question was how did we miss this? If you go back, >> which I don't think we did, I mean, think about it. There's 12,000 publicly traded stocks in the US. >> Yeah. >> I think when when you look at something like this and you ask yourself, how did I miss this? >> It's because we don't think far enough out. We don't see like you know I'm sitting here talking about oil and gas and you know it's a very volatile industry but if you think about it and it's not in favor right now I mean those prices they're all trading below the 200 in a lot of cases there's a lot of question you got potential democratic you know rule and they kill oil industry and this that and the other but if you know three years from now what this transition going to be at? Is it going to be double the money, triple the money? It is today. I don't you know, is the is the probability more likely we're going to need more oil and gas and it's going to get more red tape to get it or we're going to be in a constant conflict with the Middle East and the, you know, I think that's where we have to start thinking of how do we identify a light prior to the big move. And I got I think it comes down to thinking way out in advance of what we're thinking now. >> Well, and are you an investor or are you a trader? You know, if you're an investor, here's the 200, here's the 50. You would have made up I mean, here's where we crossed. >> Yeah. You >> know, in May of 2025, 65 bucks. >> And you wouldn't have crossed back over the 50 until June of 2026, over a year. >> Uh, and it would have been at 957. If you were doing the 200, you hadn't crossed yet. You'd still be at 9:48. >> Yeah. >> From 6. >> But it to be in it back in what is it? Uh May, June of >> Yep. >> 25 is you got to be thinking like where where is where is the next opportunity sector? Where is the next, you know, break it down what in that sector is the opportunity blah blah blah blah. And I think that's more and more we're pre getting presented with all these opportunities. Uh, we just need to be we just need to do our homework. We just need to look at where the world is headed and um and you'll get those $10 buys and $900 sells, you know. So, I think that's uh more and more I think we need to think that way. >> Yep. Someone want to look at FICO. FICO has had some issues with pricing and there's a new competitor out there. FICO does your scores on housing. Of course, housing now with the interest rates going up is lower and down, less FICO scores. They have another competitor now that came out because their prices were very high. And so, it's taking a big hit because of pricing and competitors and the housing industry. So, today it's down 20% on FICO. I don't know if news came out or what, uh, but since earnings and it hit the 200 and it earned 1045 a share, uh, it's just been pretty much down and to the right. And here we are dropping down 20% on FICO today. Okay, what else we got? I think that's it. There we go. >> Cool. All right. Oh, one last little thing. Um, on Trans Ocean, they price those rigs at $30 a barrel. M >> so they are still profitable even if we see oil prices drop into the 70s or 50s. So that's something to take in account um as you're looking at into that that industry uh versus the onshore drillers who are pricing more I think in the $70 50 to $70 range. So keep that in mind. Other than that, we'll uh wrap it up there. Oh, Bill had a question. >> There's Bill. >> Uh I did a search on light yesterday and Samantha says stay away from it. >> Yeah, it look who said Samantha. I said I did a search on light yesterday and Samantha says basically to stay away from it. It's got a very low rating. >> Well, yeah. I think uh I think what he was talking about was how did we miss it way back when >> and you know today I I would agree with that because we're right up on resistance and look at all these Let me get closer. I mean, we've got a lot of tails moving up this way. And not that it can't go up uh any further, but we've had a lot of resistance here. And every time we get up to this level, we start tailing off. So, you're definitely at the high, but you're above the 50 and you're above the 200. So, in light, you know, from a from an old, you know, 200 and Paul Tudtor Jones, you're still doing well. Just depends on what your plan is, whether it's investment plan or trading plan. Uh but yeah, at this level, we're finding some flattening out up here. Doesn't mean it can't go up, but it means it's showing a lot of resistance. Yeah. Thanks, Bill, for that. Zoom user. It's Anthony. >> Hey, good morning, guys. Um, >> good morning. >> Um, the question for Trent. Have you looked at um, you know, you talk about rig, but how about Allebertton? You know, uh, do you >> the same the same? Um I uh I'll do some research on it and I'll give you an update uh tomorrow or the next day. Yeah. No, I >> Go ahead. >> They're basically in the same field. Um you know, drilling and all that. >> Yeah. >> Uh and they've been around too for a long time. >> Yep. >> Uh um who who Cheney used to work for him, was he, didn't he? >> Yeah, I think so. Cheney. >> Yeah. He was like a sea level up there. Um, yeah, I'm I'm very interested. I'm in where all of this is headed. Um, and uh, I just look at energy as one of those prime things we need to get into. But I'll take a look at it and do some digging on it and just give you guys a little bit of give you an update on what I what I come up with and my thoughts on it. So, >> I I agree with with your your thesis there, you know, the the drillers, you know, the energy and all that. We're going to need all that stuff. Uh but >> yeah, and I think also >> Oh, it's been torn up for the last what 12, 13 years for sure. Um >> yeah, >> you know, I yet where I also look at is the infrastructure onshore that is the problem. I mean, the fact that there has not been a rig, offshore drilling rig built since 2014 tells you something. It's it that that side of the industry is very nervous. So, they also are able to control their daily pricing, which is an advantage. Um so if demand continues to grow like we're doing and supply it gets restricted because of conflicts or wars um these guys are really in a pro a position because once their fixed costs are covered uh it just becomes profit to their bottom line and I look at that and I'm like that's the kind of business you want you know um >> so and and they can price it based on whatever they demand is so I don't see demand going down anytime soon. That's for sure. But it is volatile industry. >> Do you do you think um options would be a way to trade that or or no just buy out stock? >> Um right now I would say the option right now the way I interpret how the market is looking in this case Trans Ocean is um they're they're not moving towards it. Um it has volume so liquidity is not an issue but I see it as there the market hasn't caught on yet. Um what I do because of their increase in free cash flow growth, this merger or this buyout of Versel which will increase their uh rig count quite a bit. Um and the demand for deep water hazardous uh drilling uh and Trans Ocean owns that market. Um, I think once you start to see a continuation of the free cash flow growth in in its quarter, you know, quarter after quarter, once they get past through this merger, um, I think the market will will brighten up to the opportunity and as they pay down debt and then kick in, you know, paying back out to the shareholder, I think there's just, you know, and I'm looking out, you know, 36 months. This is not a tomorrow or end of the year or 12 months from now, but I look at this and I go, >> um, I mean, yesterday I paid 421 for regular gas. My daughter's about to pay 515 for premium because her car takes premium gas. I look at that. Um, I think the other side of this, I don't know if you guys heard much about this, but the pre uh Trump administration's talking put a a uh export ban on diesel gas because um to control the cost or basically put the Middle East in a a bit of a pickle, but um it actually could backfire on us. Um and because oil when you refine um petroleum they all go you know gasoline to and diesel go hand in hand. So if you scale down diesel um refining and exporting um you also do the same with gas oil you know or gasoline which then would cause gasoline prices to skyrocket. And so, um, that's been talked about here recently about them banning the export of diesel, you know, as a basically FU to the rest of the world in a sense. Um, but I think it could really backfire on us. So, this is I think oil and gas is going to become a really big centerpiece and at least once twice a week it does in my household. So, yeah. Well, I think uh you know when the Biden administration stopped drilling altogether, that hurt him big, I think. You know, and now you got Bill uh uh uh drill baby drill going say, "Hey, you know, go for it." I think going to have more demand for the drilling thing going on, you know. So, >> that that depends, Anthony, on these the midterms. If he loses the House or the Senate, that could all stop. >> Yeah. And I think that is a big threat to uh to what we're paying at the pump. Um just out of spite, they'll they'll crush any opportunities to uh increase our production levels and and just through the eyes of my brother-in-law from the what I've talked to him, it's not picking up. He's sort of at the tail end of that whole cycle. Um yeah because of he what he he manufactures and sells and it's not picking up as fast as we think it is. So that is also something to take in account too. So I hope to have further deeper more conversations about it but I think he's trying to avoid it in his off hours. So, but yeah, but I know I see it as an opportunity. >> And then for Mark, um, you know that Lamborghini, forget that Lamborghini, Mark. It's It's the Ferrari that's coming. >> Okay. >> Yeah. >> Are you Are you sending it over, Anthony? >> No, no, no. Tren is >> He's the one with the money. >> Oh, I I thought Anthony, I thought you said we were going to go in on this gift to Mark. I mean, come on. Are you Are you running away from this? >> But you know what? You know, >> Lamborghini, Ferrari, whatever you guys Whatever you guys decide is fine with me. >> Okay, but Mark, I like your quick reaction. >> Well, wait a minute, guys. How about the midterms? >> We're just getting high on rig and you're you're like, "Hey guys, how about forget that high getting high on that stuff, >> but wait till the midterm is over. Then you can make that that call, right?" >> At least for >> Yeah, I like that. I like that. That's cool. Even after that, that becomes questionable too. >> Yeah. Right. >> Yeah. >> But when you're paying $6 a gallon >> on on your tax on your gas >> Mhm. >> I'm going to make a decision whether we should drill or not when I go to the when I go to the voting, you know, to the poll. >> Yeah. Right. >> When you're ed you're educated on it, right? Whereas I think most people are reactionary on it >> and they go, "I'm paying $6. This is your fault. I'm voting these other guys in." You know, it's a rash decision. I think that the level of education needs to be increased of >> we need we need if you want to you want to decrease uh uh costs >> um you know, you got to increase supply. >> And I I think that's most people misunderstand that. >> Yeah. Okay, guys. Thanks. >> Thanks, Anthony. I'll look that up. I'll do some work on that. >> Hey, Steve. >> Thank you. >> Oh, hey there. Um, part of the stuff because I I' I've followed this a little bit from what I from what I understand, other than we shut down the Keystone pipeline. The Biden administration just said, "Oh, we're going to phase back slowly." and they faced it all back on day one um during the administration >> which goes right through my state. >> Right. Right. Um and in in reference to um saw a stat on what's pulled out of a 42 gallon barrel of oil. uh you get about 20 gallons of gas and about 13 gallons of diesel out of out of a barrel. Uh and we're just not producing that here. But what a lot of what I'm not hearing is that uh Ukraine sent in drones into Russia and hit all of their um >> oil. They hit their oil in infrastructure. And at this point, Russia is just saying we're not we're not going to export diesel, which is what they were a primary exporter of. >> So when when you have that shut down, it trickles down. >> Yeah. >> Uh but at least from what I'm seeing, what Trump's doing, and what as I, you know, as I put the dots together, I guess, and follow that. Um, once I think Venezuela comes up and online, although it's a different sort of crude, we're only sending stuff between Venezuela and the United States and going back and forth that way versus having to go halfway across the world to get oil. And it seems like Trump is or the Trump administration would be a better way of putting it is trying to work with my perception is that he's trying to work with if you would the Americas for oil, minerals, agriculture to keep everything in our hemisphere and do to if you would make our hemis make our hemisphere great again. Um but uh but that that he seems to be more centric here than these others. And part of the Greenland deal was also to pull and extract some oils out of that because the oil outside of Greenland heading towards the North Sea seems to be the North Sea oil. So they'll be able to extract that some rare earth minerals and keep it all within our local environment if you would to make things better. But it's it's going to take 10 years before that's >> done. And I just don't think the American public American public goes out and see sees gasoline and they have a reactionary thing because they feel like they're so entitled to have free stuff and how come my gasoline isn't two bucks when I'm sitting in America? >> Yeah. I think it's um I think what in from a geopolitical point of view, I think we're in a phase of of do um uh regional dominance. So I want to I want to control my region. So the United States wants to control this section of the world. >> Yeah. >> Well, and I I think it's beneficial to all the countries in this section of the world. >> Yeah. I look >> I look at Russia and the Russia Ukraine war that is to control that is one population demand resources demand on Russia need that they need and then you have you know the Israel trying to control the Middle East which I don't see happening anytime soon and it's just a regional this is how do I create my own region Um, and I think we're just in that historical phase again where we're doing that. Now, you know, Trump comes in and he's now trying to bring manufacturing back to our country. You know, bringing Taiwan semiconductor to Arizona, Intel, um, you know, he's fuel he's trying to fuel manufacturing here so we're not dependent on everybody else. China's trying to do that in the, you know, Asian Pacific, whatever. You know, I mean, everybody's trying to like position so they're not so dependent >> on somebody else. >> True. But Trump's also kicked China out of our hemisphere. He kicked him out of the Panama Canal, right? >> Got that taken care of. He's gotten them out of Brazil. I believe he's got them out of Ecuador and he's got them out of um I want to say Peru, meaning the the western side of South America. Mhm. >> And it's essentially making it such that um we're not concerned that they're going to bring their armies over and do certain things and do bad stuff here and it keeps us safer. I also think it makes our our trade better when we have good consistent trade partners who we're all playing on the same playing field. when it's when when when Mark's producing something um he can ship it down to South America. When it's summer there, they I'm Hey, invember January, I see grapes at Publix that I'll say Peru >> and I'm happy to have them and I'm happy to send our grapes down to Peru during the middle of the winter. >> I I honestly think that's what Trump is trying to do in our case. >> Yeah. is to make us make this slice of the earth. We're dependent, you know, self-dependent. I mean, we have all the resources and we can feed each other and we can manufacture within our borders and we can put people to work and give people purpose again and do all that. And I think in a way China is trying to do this a similar thing maybe. Um but um I don't know. But I think this is not something that happens overnight. This is a long-term, >> right? And to answer Brad's question, Chad, is this become a political channel? Hey, politics had been affecting markets for ever ever since somebody put a put a put a shed in front of their hut and were selling stuff. Uh, >> yeah. So if if Brad if if fed gov regulates something then it becomes political. Um >> that's geopolitics you know geopolitics >> drug administration does something it affects me being able to buy Eli Lily. Um so >> yeah, >> politics politics as sad sad as it may be and I get get the statement, but it's still we have to deal with politics and what these Yahoos do up in Congress and what >> itffects. So yeah. Yeah, Steve, I think it do. I want to get political and say, "Oh, if you're a Democrat, I don't like you." Or, "If you're a Republican, I don't like you." No, absolutely not. What I want to know is how if I buy XYZ company today and this geopolitical thing happens on the other side of the earth, how does that affect that company? >> Well, we just talked about it with Rig, you know. >> Yeah. This could all be this could all be mute in 36 days in the you know in the midterms. If that flips, you're going to have a different geopolitical world to live in. >> Yeah. >> That affects your that affects your investing. >> If you get something in the midterms where they say, "No, we're going to shut this down. We're going to drain our strategic oil >> uh and take it down to zero." >> Yeah. >> Putting us impotent. >> Yeah. That that took that completely effects. I don't think Mark can put on his John Deere a uh a a a windmill and be able to go harvest anything. Uh that's not going to happen. You can't put solar panels on the tractor and have it function. That's not going to happen. Um they but in what I'm seeing out in New York State at least in upper in u certain areas in New York they're plowing they're basically taking down um a lot of green space uh some swampy area and some areas that are u birds and foul use >> and putting up solar arrays to just just for New York Yeah. So anyways, yes. No, Brad, I don't want this to turn into a political, you know, channel at all, but I also want to include what affects stock prices and uh our decision making. Yep. >> All right, it is almost on the hour. We will wrap it up there. >> Appreciate everybody's comments and every comment is valuable. >> Totally. And thank you, Brad, for pointing that out. And uh we will be back here tomorrow. I I swear we are in the matrix. Mark, they are just ticking away a minute every day off off the 24hour clock. >> Have you come out of your pod yet in the Matrix or are you still in it? >> I'm I still feel like I'm in it. My My back of my neck itches. Anyways, um >> hurts. >> Yeah, right. All right, you guys have a great day. We'll see you tomorrow, same time, same place. Please bring your ideas and your comments and input. This is what makes the Morning Edge >> the a great place and platform. >> It makes the Morning Edge edgy. >> Everybody Everybody gets along and respects opinions. So, um, and all opinions are worth their opinions. Okay. And >> that's right. >> That's why we have great discussions here and we'll continue to to move that direction. So, I appreciate everybody. >> Thank you all. You all take care. We'll see you all tomorrow. >> And Mark, that that Hey, Mark, that Ferrari is going to come with with a a full tank of gas. >> A full tank of gas. >> That's probably worth a car. >> Yeah, but I'm concerned about the pink Ferrari that that color kind of I don't I don't know about pink. I mean, you Mary Kay sticker across the back. >> No, no, we ain't going to see that. Not going to be any of that in the state of Nebraska. >> Nope. >> All right, y'all. Take care. Live lou. >> See you guys.