RUSH TRANSCRIPT For the ░░░░░░░░ Who get it done ░░░░░░░░ right We have a ░░░░░░░░ on our hands today ░░░░░░░░ we are rallying into ░░░░░░░░ close rebounding after that ░░░░░░░░ off yesterday My next ░░░░░░░░ says while he expects ░░░░░░░░ volatility ahead he is ░░░░░░░░ pockets of opportunity within ░░░░░░░░ Joining me now at ░░░░░░░░ nine rich saperstein treasury ░░░░░░░░ Nice to see you ░░░░░░░░ Likewise Where are these ░░░░░░░░ in stocks Well markets ░░░░░░░░ now Are discounting The ░░░░░░░░ On the global financial ░░░░░░░░ from all the Fuzes ░░░░░░░░ Lit in Washington And ░░░░░░░░ s obviously The doge ░░░░░░░░ layoffs and cuts And ░░░░░░░░ the Tariffs and everything ░░░░░░░░ I Think we re ░░░░░░░░ to have Continued volatility ░░░░░░░░ re going to see ░░░░░░░░ earnings And I Think ░░░░░░░░ over The next two ░░░░░░░░ There s really no ░░░░░░░░ to Aggressively go into ░░░░░░░░ market and Put capital ░░░░░░░░ work So you literally ░░░░░░░░ advise people just sit ░░░░░░░░ your hands for a ░░░░░░░░ of months Let s ░░░░░░░░ see how things work ░░░░░░░░ It depends On how ░░░░░░░░ someone is So if ░░░░░░░░ s Not in the ░░░░░░░░ they probably Should start ░░░░░░░░ funds To work I ░░░░░░░░ I m guessing that ░░░░░░░░ of the people watching ░░░░░░░░ right now are invested ░░░░░░░░ the market to you ░░░░░░░░ to at least some ░░░░░░░░ I don t who ░░░░░░░░ what their you know ░░░░░░░░ levels are relative to ░░░░░░░░ exposed they are to ░░░░░░░░ and bonds But what ░░░░░░░░ you are pretty well ░░░░░░░░ and you ve enjoyed ░░░░░░░░ past couple of years ░░░░░░░░ didn t sell at ░░░░░░░░ on the downturn that ░░░░░░░░ just had What do ░░░░░░░░ do then Rotate into ░░░░░░░░ cash flow generating companies ░░░░░░░░ for Example In the ░░░░░░░░ Cap tech space There ░░░░░░░░ certain Companies that right ░░░░░░░░ have operating cash Flows ░░░░░░░░ Over close to 10 ░░░░░░░░ The Utility space As ░░░░░░░░ Know I ve been ░░░░░░░░ Owner of Utilities for ░░░░░░░░ A while Yeah But ░░░░░░░░ mean the one you ░░░░░░░░ vistra has been one ░░░░░░░░ the most volatile stocks ░░░░░░░░ the market Yeah it ░░░░░░░░ vista is 40 Billion ░░░░░░░░ Generating five And a ░░░░░░░░ 6 billion In operating ░░░░░░░░ flow This year they ░░░░░░░░ going to Buy back ░░░░░░░░ They re going to ░░░░░░░░ Be growing So as ░░░░░░░░ Independent power Producer that ░░░░░░░░ nrg At these levels ░░░░░░░░ to provide Great opportunities ░░░░░░░░ you re talking about ░░░░░░░░ caps like like what ░░░░░░░░ mean you re essentially ░░░░░░░░ that you think these ░░░░░░░░ have corrected enough Yes ░░░░░░░░ if the economy gets ░░░░░░░░ Well the economy Will ░░░░░░░░ down There s no ░░░░░░░░ And if we Look ░░░░░░░░ where the market will ░░░░░░░░ let s say last ░░░░░░░░ the market generated 245 ░░░░░░░░ earnings Put a 20 ░░░░░░░░ that That s roughly ░░░░░░░░ Bottom on the market ░░░░░░░░ would I put 20 ░░░░░░░░ that Because that s ░░░░░░░░ earnings And then you ░░░░░░░░ have 26 Where a ░░░░░░░░ of this tariff Tantrum ░░░░░░░░ this entire Doom loop ░░░░░░░░ We re Experiencing will ░░░░░░░░ Be Over by then ░░░░░░░░ I Think you ll ░░░░░░░░ Looking at increased Earnings ░░░░░░░░ 26 So you ll ░░░░░░░░ putting A Multiple of ░░░░░░░░ s Say 18 on ░░░░░░░░ earnings So in terms ░░░░░░░░ the Market this year ░░░░░░░░ d look for q3 ░░░░░░░░ q2 to Be more ░░░░░░░░ more resolution Of the ░░░░░░░░ Leaving Mexico Canada eurozone ░░░░░░░░ China for q4 And ░░░░░░░░ know some resolution On ░░░░░░░░ What about Things like ░░░░░░░░ which you ve told ░░░░░░░░ viewers you like for ░░░░░░░░ long time Two weeks ░░░░░░░░ the worst day in ░░░░░░░░ years I know some ░░░░░░░░ say well that s ░░░░░░░░ the opportunity presents itself ░░░░░░░░ given what s been ░░░░░░░░ with the bond market ░░░░░░░░ interest rates maybe you ░░░░░░░░ t feel as comfortable ░░░░░░░░ I once would have ░░░░░░░░ even something that feels ░░░░░░░░ safe as a muni ░░░░░░░░ haven t Seen these ░░░░░░░░ in 14 years And ░░░░░░░░ reason Is That there ░░░░░░░░ Tax selling For to ░░░░░░░░ taxes on April 15th ░░░░░░░░ supply Coming into The ░░░░░░░░ this week 13 billion ░░░░░░░░ an average of 7 ░░░░░░░░ Plus one Of Trump ░░░░░░░░ Advisers suggested Reducing or ░░░░░░░░ the tax free nature ░░░░░░░░ munis And you have ░░░░░░░░ in the stock market ░░░░░░░░ to selling in the ░░░░░░░░ market So that s ░░░░░░░░ the yields on these ░░░░░░░░ to unprecedented levels You ░░░░░░░░ to lock in some ░░░░░░░░ the yields that they ░░░░░░░░ Absolutely Because if the ░░░░░░░░ result in a Slowing ░░░░░░░░ the Economy that will ░░░░░░░░ in Lower interest Rates ░░░░░░░░ that will raise bond ░░░░░░░░ because If yields drop ░░░░░░░░ bonds the prices go ░░░░░░░░ So as a Place ░░░░░░░░ Hold out and hang ░░░░░░░░ right now during this ░░░░░░░░ plus have a great ░░░░░░░░ term investment Munis at ░░░░░░░░ and a half 5 ░░░░░░░░ free Are Exceptionally attractive ░░░░░░░░ here Are your clients ░░░░░░░░ seemingly everybody else hanging ░░░░░░░░ every headline that moves ░░░░░░░░ people are Because you ░░░░░░░░ the Washington has really ░░░░░░░░ the airwaves right now ░░░░░░░░ keep in mind that ░░░░░░░░ tariffs today are impacting ░░░░░░░░ market And unlike zero ░░░░░░░░ or 20 when we ░░░░░░░░ great market declines we ░░░░░░░░ no way out of ░░░░░░░░ with the tariffs It ░░░░░░░░ one guy He could ░░░░░░░░ start resolving a lot ░░░░░░░░ these issues making announcements ░░░░░░░░ think he s going ░░░░░░░░ do that What do ░░░░░░░░ mean We had no ░░░░░░░░ out of the other ░░░░░░░░ The court came to ░░░░░░░░ rescue and so did ░░░░░░░░ government with all the ░░░░░░░░ money Neither looks imminent ░░░░░░░░ this case Well In ░░░░░░░░ we had no solution ░░░░░░░░ Covid When the market ░░░░░░░░ in zero eight the ░░░░░░░░ had To come In ░░░░░░░░ really rescue The market ░░░░░░░░ this case the Fed ░░░░░░░░ not have to come ░░░░░░░░ Will Trump resolve this ░░░░░░░░ let s think about ░░░░░░░░ Europe You re charging ░░░░░░░░ 10 on my cars ░░░░░░░░ want to send a ░░░░░░░░ over to Europe It ░░░░░░░░ 10 tariff We re ░░░░░░░░ charging two and a ░░░░░░░░ Either charge me two ░░░░░░░░ a half or I ░░░░░░░░ to 10 Let s ░░░░░░░░ resolve this It s ░░░░░░░░ binary outcome It s ░░░░░░░░ math So I Think ░░░░░░░░ agitating discussions will get ░░░░░░░░ unlike what we had ░░░░░░░░ on back then And ░░░░░░░░ know and you don ░░░░░░░░ think that enough damage ░░░░░░░░ have been done before ░░░░░░░░ happens to have a ░░░░░░░░ know a bad market ░░░░░░░░ because you essentially have ░░░░░░░░ unavoidable economic situation that ░░░░░░░░ re going to have ░░░░░░░░ deal with first I ░░░░░░░░ not worried about the ░░░░░░░░ that we re losing ░░░░░░░░ Reserve currency Status that ░░░░░░░░ know foreign capital flight ░░░░░░░░ m not worried about ░░░░░░░░ these things we re ░░░░░░░░ in this doom loop ░░░░░░░░ Not worrying about any ░░░░░░░░ It because I m ░░░░░░░░ past all this and ░░░░░░░░ m saying what s ░░░░░░░░ likely outcome and where ░░░░░░░░ we be deploying capital ░░░░░░░░ now in buying munis ░░░░░░░░ I ve got a ░░░░░░░░ to be for when ░░░░░░░░ outcome occurs All right ░░░░░░░░ guess that s why ░░░░░░░░ go into Italy soon ░░░░░░░░ that you re you ░░░░░░░░ right Good to see ░░░░░░░░ Thanks for being here ░░░░░░░░ to see you Rich ░░░░░░░░ the man with no ░░░░░░░░ seemingly at all That ░░░░░░░░ not exactly true I ░░░░░░░░ but you project a ░░░░░░░░ positive face in in ░░░░░░░░ is a very uncertain ░░░░░░░░ I think I think ░░░░░░░░ s my point It ░░░░░░░░ uncertain but resolvable That ░░░░░░░░ the key This has ░░░░░░░░ s benefit For Both ░░░░░░░░ to resolve this So ░░░░░░░░ could be some resolution ░░░░░░░░ s announced over the ░░░░░░░░ 3060 days And you ░░░░░░░░ see the reaction in ░░░░░░░░ market.