Fast Money Blog- 1/6/23

This week, stocks remained neutral as Wall Street awaits year-over-year corporate earnings and the January 12th, CPI report. 

Here’s what we know for sure: Historically, January is a slow month for stock market traders. As covered call writers we tend to sell longer dated calls during this period to keep consistent income hitting our trading accounts, while simultaneously holding stocks for the long-term.

Holding stocks through the ups and downs of the U.S economy and the twists and turns of the stock market, is what produces long-term wealth.

Today’s wealthiest entrepreneurs are all long-term share holders. 

For example, there’s a reason why Jeff Bezos (founder and former CEO of Amazon) is one of the worlds richest individuals with a net worth currently around $109 billion. 

In 1994 Bezos shocked his parents by leaving a great job on Wall Street in order to sell books over the internet. Since then Amazon has grown into the world's largest online retailer and a prominent cloud service provider.

Amazon.com made its initial public offering on May 15th, 1997. As of today, the split-adjusted stock price has risen over 170,000%. The primary source of Bezos’ fortune is his 11% ownership in Amazon.com stock, making him Amazon’s largest stockholder. 

But all that glitters is not gold. When it comes to financial success there are no “transfer credits”. Even the most successful businesses experience failure. 

Amazon’s desire to compete in the brick-and-mortar business hasn’t been very successful to date. Back in March of 2022, the company announced it was closing more than fifty of its physical retail stores, including two dozen bookstores and more than thirty Amazon 4-Star stores, all due to shrinking sales. Basically these ventures were a bust. 

That said, Amazon isn’t giving up. The company is still continuing to experiment with physical stores such as cashier-less Amazon Go stores and Amazon Style, its first-ever physical store for men’s and women’s clothing, shoes, and accessories.

So What's The Moral of This Story?

It's been Jeff Bezos’ continued long-term ownership of Amazon.com stock shares that has made him one of the wealthiest people in the world.

As a stock market trader and investor you will have your ups and downs. If you are genuine in your desire to create long-term wealth and monthly residual income using the Wealthy Investor principles, you will prevail.

I believe in 2023 the Fed will cease raising interest rates and our market will turn fiercely bullish very quickly.

Stay focused and stay patient in 2023.

Tyrone Jackson

The Wealthy Investor