Dear Friend,
Looks like holiday cheer isn’t spilling over into the economy—consumer confidence just tanked while elites are still partying like it’s 1999.
Meanwhile, OpenAI is redefining “nonprofit” with a side of billions, proving even idealism has a price tag.
And if retirement’s on your radar, don’t just save for it—socialize for it! It turns out planning your hobbies and friendships is as critical as building your 401(k).
Here’s what you need to know in this edition of the Everlasting Wealth Insider Report. Keep reading for the latest on markets, taxes, and more!
Jeremy Blossom
Editor in Chief, Everlasting Wealth
MARKET HEADLINES
💰 Bitcoin Climbs Amid Geopolitical Moves: Bitcoin rose to $96,399 amid Russian endorsement of the cryptocurrency, signaling potential demand spikes as nations explore Bitcoin as an alternative to the U.S. dollar.
🖥️ Super Micro’s Volatile Year Still Ends Up: Despite accounting issues and stock swings, Super Micro is set to close 2024 with a 19% gain, buoyed by its role in AI-driven server demand.
📺 Netflix Scores Big with NFL Games: Netflix broke streaming records with NFL Christmas Day games, attracting over 24 million U.S. viewers per game, though the stock dipped slightly after a year of 90% growth.
🚀 XRP Leads Crypto Boom Despite Dip: XRP prices fell slightly but remain up 350% for 2024, with optimism fueled by a pro-crypto U.S. administration and plans for deregulation and a Bitcoin reserve.
🏠 Higher Mortgage Rates May Benefit 2025 Buyers: Mortgage rates ended 2024 at 6.85%, but potential rate drops in 2025 could create buying opportunities, with experts predicting a shift to more stable housing activity.
Markets Steady as Bond Yields Rise: Inflation Concerns Loom
Stocks largely held their ground post-Christmas, with the Dow eking out a 0.1% gain while the S&P 500 and Nasdaq dipped slightly, though all three are poised for robust annual gains—the Nasdaq up 33% on AI enthusiasm, and the Dow and S&P up 15% and 27%, respectively.
Rising bond yields, with the 10-year Treasury hitting 4.63% before settling at 4.577%, reflect market concerns over inflation and deficits, with investors warned of “vigilantism” from the bond market.
Globally, Japan’s Nikkei rose 1.1% on strong auto stocks, while Bitcoin retreated from its $100,000 milestone as MicroStrategy’s accelerated bitcoin-buying plan weighed on sentiment.
As 2024 ends, the markets are navigating a mix of resilience in equities and persistent inflationary pressures.
STOCKS TO WATCH
📈Toyota Motor Corporation (TM): Shares surged 8.8% after reports revealed plans to double its return on equity target, indicating a focus on stronger financial performance.
📈GameStop Corp. (GME): Shares climbed 5.9% following a cryptic social media post from “Roaring Kitty” (Keith Gill), sparking enthusiasm among meme stock investors.
📈Apple (AAPL): Shares inched up 0.3% as the tech giant edged closer to a historic $4 trillion market valuation.
📉MicroStrategy Incorporated (MSTR): Shares dropped 4.8%, mirroring a 3.4% decline in Bitcoin prices.
This Day in the Markets
📉 On this day in 1987, the Dow Jones Industrial Average experienced its steepest one-day percentage drop in history, falling 508 points, or 22.6%. This event, known as Black Monday, sent shockwaves through global financial markets, wiping out significant wealth in a single trading session and sparking concerns of a broader economic crisis.
STOCK PICK OF THE WEEK
Brownstone Research
The AI Breakthrough Everyone Will Chase
The CEO and founder of Brownstone Research made an entire career from making spot on tech predictions.
Like Nvidia in 2016… AMD in 2017… and Tesla in 2018.
But right now, he have another one that could eclipse them all.
It has to do with a little-known project that Bill Gates has been quietly working on that’s about to unleash an AI breakthrough so advanced, it’s going to make ChatGPT look like VHS.
But what’s even more unbelievable?
It’ll make Nvidia’s meteoric rise look like a backyard bottle rocket.
And here’s the kicker.
Almost no one knows about it… yet.
This could be one of the fastest-moving profit stories of the time.
And if you want in on it, you should act now.
Click here and I’ll tell you everything you need to know.
ECONOMY
Consumer Confidence Tanks, But Elites Are Still Riding High
Looks like Americans aren’t feeling the love for the economy this holiday season.
Consumer confidence just tanked by 8.1 points, with the expectations index falling to 81.1—dangerously close to recession territory.
Economists had their heads in the clouds, expecting an increase, but reality had other plans.
Meanwhile, the private sector is all smiles, boosted by the services sector and post-election optimism. It’s almost like the elites live in a bubble, completely detached from regular folks struggling with rising costs and job worries.
But hey, who needs actual solutions when you can just wave around some fancy stats and pretend everything’s fine?
ECONOMY HEADLINES
🏠 Homeownership Costs Hit New Highs: Rising property taxes and insurance premiums are outpacing mortgage payments for many, forcing homeowners to reconsider the financial viability of staying put.
💹 Fed Navigates Inflation and Trump-Era Policies: The Federal Reserve is balancing inflation concerns with potential economic shifts stemming from President-elect Trump’s trade and immigration proposals as it plans cautious rate cuts for 2025.
🌎 Economic Disparities Widen Amid U.S. Rate Hikes: The Fed’s approach to rate cuts is putting pressure on Europe, where the eurozone and U.K. face steeper challenges that could push monetary easing measures further.
📉 Deficit Reduction Sparks Political Debate: Efforts to cut the federal deficit face resistance as policymakers weigh unpopular choices, with executive actions providing a potential but contentious path forward.
📉 Consumer Confidence Falls on Economic Uncertainty: December saw a surprising drop in U.S. consumer sentiment, highlighting increased economic concerns even as private sector optimism remains steady.
BUSINESS
OpenAI Goes Full “For-Profit,” Because Billions Don’t Raise Themselves
OpenAI just announced it’s ditching its nonprofit roots to become a Public Benefit Corporation (PBC), claiming it’s the only way to keep pace in the AI arms race, where “hundreds of billions” are needed.
After raking in $6.6 billion in funding this October—with a catch that they must go for-profit or pay it back—they’re restructuring to attract conventional investors while keeping their “benefit humanity” tagline alive.
This move follows last year’s drama when CEO Sam Altman was briefly ousted, exposing how messy nonprofit governance gets when big money’s involved.
Now, OpenAI says it’s evolving into an “enduring company,” which apparently means balancing a public mission with pleasing shareholders.
Idealism is nice, but it seems a profit-driven makeover is even better when billions are on the table.
RETIREMENT
Combating Loneliness in Retirement: Plan Your Social Life Like Your Savings
Loneliness in retirement, often worsened by tight budgets, is a growing challenge, but experts suggest ways to address it.
Planning for retirement shouldn’t just focus on finances but also on social connections—like living near friends or family, joining clubs, or cultivating hobbies that bring joy.
Affordable resources such as local senior centers, which offer low-cost activities, transportation, and benefits counseling, can also help retirees stay connected.
Programs like SNAP or Medicare Savings, which many eligible seniors overlook, can free up funds for socializing.
Building a support system early and budgeting for activities that enhance quality of life, even on a fixed income, can make a big difference.
As one expert put it, preparing for the “little things that make you smile” is as vital as growing your 401(k).
Trivia
Which single factor significantly transformed the U.S. economy during the late 20th century, leading to the rise of the information age?
A. The Dot-Com Boom
B. Advancements in Semiconductor Technology
C. Deregulation of Telecommunications
D. Expansion of the Internet
Scroll for the answer
TAXES
Smart Tax Moves for 2025: Avoid Pitfalls and Maximize Savings
Kick off 2025 with savvy tax resolutions to keep more money in your pocket.
Avoid underpayment penalties by ensuring at least 90% of your taxes are paid on time—especially with interest rates driving penalties to 7%.
Know the difference between your marginal and effective tax rates, as the latter is typically lower and helps with smarter investment decisions.
Be cautious with backdoor Roth IRA contributions if you have pretax IRA funds to avoid surprise taxes.
Make the most of low-tax years by converting traditional IRAs to Roth IRAs or selling appreciated assets for little to no tax.
Finally, embrace tax complexity—it enables deductions, credits, and exemptions like capital gains breaks and child tax credits, which can slash your tax bill when used wisely.
Answer
Which single factor significantly transformed the U.S. economy during the late 20th century, leading to the rise of the information age?
C. Advancements in Semiconductor Technology
While all the options contributed to the rise of the information age, advancements in semiconductor technology served as the foundation.
Semiconductors powered the creation of computers, mobile devices, and other digital tools, enabling rapid technological progress.
This innovation not only revolutionized industries but also paved the way for the Dot-Com Boom and the expansion of the Internet.
By increasing computing power while reducing costs, semiconductors transformed the global economy and solidified the U.S.’s position as a leader in technology.
