Animal Spirits Podcast - How Much Do You Need to Make to be Rich? (EP.298)

Episode Date: March 8, 2023

On today's show, we discuss reaction to Powells testimony, richsession in chart form, Silvergate drama, Michaels humble brags, Karen-Batnick, and much more!    Find complete shownotes on our blogs... Ben Carlson’s A Wealth of Common Sense Michael Batnick’s The Irrelevant Investor Like us on Facebook And feel free to shoot us an email at [e-mail] with any feedback, questions, recommendations, or ideas for future topics of conversation.   (Wealthcast Media, an affiliate of Ritholtz Wealth Management, received compensation from the sponsor of this advertisement. Inclusion of such advertisements does not constitute or imply endorsement, sponsorship or recommendation thereof, or any affiliation therewith, by the Content Creator or by Ritholtz Wealth Management or any of its employees. Investments in securities involve the risk of loss. Any mention of a particular security and related performance data is not a recommendation to buy or sell that security. The information provided on this website (including any information that may be accessed through this website) is not directed at any investor or category of investors and is provided solely as general information.) Learn more about your ad choices. Visit megaphone.fm/adchoices

Today's Animal Spirits is brought to you by our friends at Y Charts. We are doing our show from the Y Charts offices in Chicago, downtown Chicago, right by the river. Great location. They've met us with donuts, which was great. I'm a donut guy. Michael, you know what the best donut is? Two donuts. Two donuts.

I know those dad tricks. All right. Way ahead of you. All right. It is Tuesday, March 7, 10, 20 a.m. What are we looking at then? We're looking at a chart of the S&P 500. Things were going sideways and then boom.

Boom. Boom is a bit of a stretch, but things went down. What's happening, Ben? So what are you looking at? A daily chart? Intraday. Jerome Powell. You tell me, I'm not paying attention to the markets. So what did Jerome Powell say? He said something along the lines of, nothing about the data suggests we have tied in too much. And the market didn't like that. So rather suggests we have more work to do. We're going to talk about a lot of that and much more. First time home buyers would beg to disagree. Great point. If you want to learn more about Y charts and this wonderful product that Ben and I use all day every day. That's right.

By the way, put a pin in all day every day. You're going to see that later in the show. Go to widecharts.com. Love them know that we sent to. And you'll get 20% off your first subscription. Welcome to Animal Spirits, a show about markets, life, and investing. Join Michael Batnik and Ben Carlson as they talk about what they're reading, writing, and watching. Michael Battenick and Ben Carlson work for Ritt Holtz Wealth Management.

All opinions expressed by Michael and Ben Carlson. Ben or any podcast guests are solely their own opinions and do not reflect the opinion of Ritthold's wealth management. This podcast is for informational purposes only and should not be relied upon for investment decisions. Clients of Ritthold's wealth management may maintain positions in the securities discussed in this podcast. Welcome to Animal Spirits with Michael and Ben. Alert alert. Who says it? Is that Josh Allen? Who says alert alert alert? Josh Allen. What do you mean? Football player. At the line of scrimmish. I don't know. Are you playing an audible here?

No. Had the line of scourgeure. He says alert alert. Okay. I'll take your word for it. All right, anyway, the alert is we are looking for a junior advisor in New York City. Maybe you've heard of it. It's a big city. That's where I live. Well, not sure.

That's where I work. Sometimes if you want to join the team, if you're a young advisor and you want to learn about working with us, please reach out to hiring at ridholtswealth.com. All right. Ben, we were talking last week. And I was asking you, given that interest rates are up so much and all of the uncertainty, I'm impressed. I was impressed on the market's resilience. And you encouraged me to write a blog post.

And I was asking. It's called teamwork right there. You were telling me your thoughts, and I said, you should write a blog post, call it this. And we did it. So when everyone is expecting a recession, when people are off sides and expecting one thing, and the market's doing something else, I at least think it's worth asking what is the market maybe seeing

that we're getting wrong? I wasn't pounding the table. I'm just saying the market has been resilient if you look at things like industrials and semiconductors and transports and travel and leisure stocks, given where interest rates are, like the fact that they've risen

so much over the past couple of weeks, stocks are hanging in, they're pretty okay. And then a lot of people are calling me like a permable. I'm like, parmable. May I ask you a question? So the idea was, was, okay, rates are much higher. Stocks should be down. And you're looking at the numbers and

saying, actually the cyclical stuff that you would expect to get hammered the most is holding up really well. If we were going to go into a recession, and listen, I'm not saying the market is always right. There's plenty of ties where it's wrong. But industrial stocks have literally the highest correlation to economic activity. And you have X-LI right near a 52-week-time. I have maybe a dumb question. I see this all the time. Transports are breaking out. What are the transport stocks. UPS, FedEx, KSU, the railroad stocks. Things that move goods around our... You could almost call Amazon a transport stock. Sure. They've got their own vans now. Trucks? So I looked at... We first went into a bare market in June. And if you look at the chart,

you'll remember we had a massive spike in interest rates. The two-year went from 2.8 to 3.4% in two days. Massive move. And at the time, the Fed funds rates had a target range of 75 to 100 basis points. So two-year, 3.3%. Fed funds rate 75 to 100 basis points. Where's the Fed Fund target right now? Is it 475 to 500 or 450 to 475? Yeah. Which one? Almost five. Okay. And the two year is, where's the two year? Close to five? Trying to look at right now. And the market is higher today than it was then. Sorry, I can't. What the heck. Hang on. Ben, allow me. The two year is at four point nine. Oh, the two years breaking out again. Four point nine six percent. Not necessarily the surprising given Powell's remarks earlier. So I'm just asking the question. You have small

caps acting better. What are your thoughts? My one thing I've been thinking a lot is that the markets are rarely as easy as if A happens and B will be sure to follow. It makes sense in theory. And I wrote a blog post about this a couple weeks ago, I think, saying that higher short term rates like this or rising short term rates haven't been as bad as you think. And I think that's one of the confusing parts about just following the financial markets in the short term, is that sometimes the relationships don't make a lot of sense. Sometimes they do. Obviously, I guess if Powell's saying something, maybe the market's going to react because all the algorithms hear it, but I think this is why it's so hard to predict the market over the short term. Are you missing a popper thing on your mic?

Well, I didn't want it to get all, what is it for, honestly? It's for the anti-popping. Okay. I didn't want to put it in my backpack and had it get all scrunched up and be weird looking. Okay. So, I took it off. So, what were we saying? How many have we done live in person together? I feel like we've done a few of them in recent months. Ten? It's always a little different. It's easier sometimes just seeing you on a screen.

I think we mentioned it. We're in Chicago for a few days. We're meeting with clients. We're meeting with prospects. We're meeting the advisors. We're eating pretty good food. We're walking around the city. And it's a great city.

Great city. One of my favorite cities. This is not a scorching how take. I was in Scottsdale last week. And the location, the geographic, location of a city has a massive impact on the DNA of its residents. For example, and I'm not judging, I'm just saying this is just a fact. I grabbed breakfast. There was like a breakfast place. I stayed near like the Kierland, something or the other in Scottsdale, and there was a breakfast sandwich

place. It was kind of like a diner. And it was full of people. And not retired people or not older people. It was just filled with people at like 9.45 in the morning. And what are you trying to figure out why not these people working? Yeah, more or less. In Chicago, I went for a walk earlier this morning. I was probably on the road at 7.15, just strolling around, taken in the city. People everywhere. Workerbees. Was it 7.15 Eastern Time or 715 Central?

Oh, don't have we started. Actually, let's do this right now. So maybe there does exist an option. Somebody emailed me if you know that this option exists. If I am in Chicago and I'm an hour behind my normal time, but then I'm preparing for an invite out to somebody who's on West Coast time, time, but I have to make sure that I know that I'm going to be in East Coast time. Because right now, what I'm getting at is your Google calendar moves with your time zone,

which in certain ways makes sense. It makes sense if you're on the day of the meetings, that makes sense. If you're trying to plan a future meeting, we were setting up for the podcast and Duncan slacked us an hour before we were supposed to start saying, hey, guys, I'm ready whenever you are. And we said, no, it's in an hour. And you said, my idea. I don't think there's a big market for this idea. I'm sorry.

Maybe AI can figure it out for you. Do you want to do this now? What happened yesterday? Do you want to save it for later? Let's just tease it. We had another Karen Batnik moment last night, and they're happening on more and more frequency. I just want to say,

I've known you for almost a decade, and I have never seen you so mad as you were last night. Let's get into some more market stuff. You know, I'm still, I'm still annoyed. Okay, fine. We'll come back to that. So a few weeks ago, we learned about these things called

zero days to expiration options, where they literally are issued and expire, I guess, a couple hours later. So Goldman has this chart looking at the distribution of S&P 500 notional volume by maturity for options. And under 24 hours, look at this. This has to be impacting the market in some way, which is way above my pig rate. But don't you think?

That is a pretty good chart. With all like the gamma stuff. Who's trading these? High frequency traders. Okay. I think. I don't know. It can all be retail traders, right?

I doubt it. Okay, by the way, I just want to get back to your bearish thing that everyone is bearish. It just seemed like everyone is bearish. You should have seen the comments to me. It's like I know what the comments are, not unexpected, but I'm merely asking the question. We're only a little more than two months into the year. The S&P is actually up almost 5% still for the year, 4%. I say that now, and by the time this air, market's going to drop 5% or something.

But you're right. It's very resilient. And I think people just want to see the crash, a lot of people. I want to see, like, total washout and then start over. And I don't think that's going to happen. I understand people thinking a recession is inevitable, given what the Fed is trying to do. They're being very transparent about their seriousness in which they're taking inflation. I understand, like, don't fight the Fed, I do.

There's no butt coming. I just, I get it. Fed Woj had a piece yesterday for the Wall Street Journal. And the quote from someone in the piece was basically, for the last 18 months, a recession has been six months away. and then it doesn't happen and then it's six months away and then it's six months away

and I'm sticking to our guns here that we made at the beginning of the year with our Derek Thompson podcast that if there's no recession this year people are just going to push that back and say okay, 2024 then. All right, we haven't spoken about Arc in a while. Ben Johnson has this really bad-ass chart

looking at the trailing 20-day flows since inception. And of course, we know it went vertical into 2020 and 2021. And it's been shopping around, but it looks like it's been mostly negative now. The caveat that, again, we're only two months and change into the year. You know what I'm doing right now?

I'm going on to Y charts to look at the total assets. I'm on Y charts. What is ARC's return this year, if you had to guess? 26%. That was pretty good. It's up 28.5%. Or 25.8%. You were basically right on.

Not to break. You had that on your screen over there? I have total assets under management on my screen. Okay. What, it was down 80%, so I guess that makes sense, but not bad. So, Ironhunter was on CNBC. I did not watch the interview. Okay.

I've been trying to teach my children because, you know what, kids, little kids just have no filter. They'll say anything about anyone, appearance, anything. Chris Rock made this point on his new special. Did your kids say something? No, but I'm trying to, especially my younger, trying to drill into them. Like, you don't talk about other people's appearances. The other day, I took Kobe to a friend's house, and he said, they have a small house.

And of course, yes. Of course, there was nothing malicious about it. That kind of thing. I took him by the shoulders, and I said, Kobe, you never, ever say that. And of course, he didn't really exactly understand why I was, I reacted the way that I did. Okay. Having said that, okay. As a billionaire, does David Einhorn have the worst haircut for a billionaire? I didn't see it. I'm not one to talk. But what happened?

No, he's just, his, he just has kind of like a bowl cut. It looks kind of like the Beatles a little bit. It doesn't seem like a billionaire. Maybe, hey, he's a value investor. Maybe he goes to a great coach. I'm saying kids make that type of comment and I'm making it. I'm being a hypocrite. You try to shoehorn the kids thing in there. No, I'm saying I'm being a hypocrite. Okay. Jeez.

You spent 10 minutes on the podcast two weeks ago telling me about your Saturday. Went to bed bath and beyond. I'm a big dump guy. Anyway. Went to the dump this weekend. Okay, so Kelly Evans from CNBC had this, and she summarized. And he said, he's basically talking with index funds again. He said, there's a really good theory a long time ago that you can get the index return.

You can save on taxes, save on transaction costs. People got bored of a lot of money moved. And he basically says, there's fewer investors doing the hard work to set prices for the stocks, and as a result, money's flowed in index investing in mega-kept tech over the past decade. Not untrue. Of all the risks in the market that hedge funders have to worry about, why do they always talk about index funds so much? Is it because of they're sick of being compared to the S&P 500?

I just don't get why. This is an important quote. He said most people either cannot do valuation. They choose not to do valuation. By the way, according to my resume, I know how to properly value securities. That's true. Or their valuation is structurally agnostic. That leaves us.

I don't want to say alone, but with less competition than 10 or 15 years ago. And the implication for the rest of us is that the market for many stocks may also be less efficient now than it was in the past. Okay, time out. Is he saying that in the past, markets were more efficient, but he was able to accurately find mispricings. And then when they efficiently converged on his views, he made money. I don't even understand. If markets are less efficient now, shouldn't that make it good for him? It should be.

Is that what he's saying that things are good for him now? I don't understand. I think that's kind of what he's saying, but I never like this argument of this changes the way that people have valuations and guess what, regardless of how many people own index funds, the people who are actively trading are still going to be setting the prices and the market is what the collective actions of all investors are. That's it. This argument just doesn't make sense to me. I don't know why. Again, I think it's probably because they get compared to the S&P so often and they're sick of it. I just don't understand it. It's not a risk that should matter. It's way, way, way down the list in terms of things I'm worried. about. So this is a great chart from Lizanne Sanders. The market's expectations are probably of a 50 basis point rate hike at the March meeting went from 0% of the beginning of February to 29% at the beginning of March. So again, you have not just expectations for rate hikes, increasing size rate hikes going up. You have actual interest rates moving up a lot. I'm not trying to beat a dead horse. But, and yet the market hasn't responded. The craziest thing to me is that

it was in March of last year that the Fed first started raising rates. It's been a, a year. And so rewind a year and tell you and I then, who to be fair, we both said it's going to be hard to raise rates very high because there's a lot of problems it can cause. It hasn't caused nearly as many problems as I would have thought. Hand up. If you would have said the Fed is going to raise to five, five and a half percent in a year. There was a time not too long ago where you fed the Fed was going to break something. I can't believe that they had. I mean, they did. They did kind of break the housing market. No, they absolutely did. It's frozen. But it hasn't like led to any other problems yet. Maybe it will, but it's surprising to me that they raise so aggressively and nothing

really bad in the economy has happened yet. Here's a question. Is the idea, this overly simplistic idea that banks borrow short and lend long, and therefore banking activity, lending activity grunts to a halt when the yields curve is inverted? I'm sure there are people that know better than we do about what lending activity has been like in this environment. Is that a myth or is that? I think that there's a big difference between interest rate levels, and access to credit. And that's probably what people miss. Interest rates were much higher

in the housing bubble of the early 2000s, but credit was super easy to get. Remember in the big short about the strawberry picker who made $14,000 and you get a $600,000 mortgage. So that, I think maybe that is the thing where it's not quite as easy to get a loan these days. What does that bank's borrowing short? What do they pay on the checking deposit?

Nothing? Banks are still doing fine. They're earning plenty of spread right now. Okay, maybe this is answering some of our questions. is your MasterCard CFO and the state of the consumer. We continue to see what is a remarkably resilient consumer. Our business model continues to be a nominal spend business model, which is a combination of real spending and inflation. So they're saying people are still spending plenty money. Everything is doing pretty good. The New York Times had a piece, and the author talked

about how they kind of became addicted to spending during the pandemic. And the headline is, I spent two years revenge spending. It was hard to stop. I do think there's something to this, where you develop some certain habits, and I'm not a big personal finance, spend shame person. There are some people in the personal finance world who just get mad at you for spending money on anything. I like spending money personally on certain things or certain things I do not like spending money on, expensive tequila drinks, for instance. But there are certain things that I enjoy spending money on and people say, oh, it's just

the dopamine hit or whatever, and I enjoy it. They talk about the dopamine hit stuff in here. How about this? You know what I love spending money on? the thing that I love spending money on the most, which I don't know that I necessarily got ashamed for, but there was a few people, I get it, I pay somebody to fold my laundry. It's money well spent, right? It's the absolute best money that I spend.

It is a life changer. I mean, that's an exaggeration, but it is, why am I sharing this? Just there's things that are worth spending money on? Yes, I can also see how these habits develop. We keep asking, inflation is happening. Why aren't people changing their behavior? I think it's hard to change that behavior. Oh, so the main point is that luxury is having somebody fold your clothes and put them away for you.

luxuries become baseline very quickly. I used to mow my own lawn, and it would take like an hour. My old house, we had a much bigger lawn, and then we had kids, and it was hard, and I paid someone, and I said, I'm going to pay someone for the summer, and when the kids get older, I'll start mowing the lawn again. I still pay someone to do the lawn for me, and it's great because I'm paying for time. I'm just saying it's okay to not be spend shamed for everything. That's the hard part, though.

Some people take it too far, and they get addicted to it, and it is just the psychology thing, so anyway. You do like to spend shing people in cars. We're going to get to that in a minute. Yes, but I don't want people complaining about gas prices and their monthly payment for a car when you're spending $80 or $90 grand in a car. True. We got economic data from China.

Their manufacturing rose to the highest level since April 2012. I thought we didn't trust any economic data from China. European stocks. You look at the DACs or the CAQ recently. I think the CAQ is on an all-time high. The DAC is not far behind. I've never heard you talk about the CAQ before. It's the French market.

I know, but you sent me a chart the other day. How long was it the last year? That was six months. Six months. Okay. Foreign stocks are just crushing U.S. right? Europe in particular, which a lot of people were calling uninvestable. Because whatever happened to their recession, that was the layup. Everyone predicted a U.S. recession. I guess it was just natural gas prices. Some more layoffs this week, General Motors. Wait, General Motors is not in Michigan, is it? To Detroit, yeah. Oh, is it? Yeah. I knew Ford was.

Yeah. Forge. Chrysler was the other part of the big three. You know any General Motors employees live around you? No, it's on the other side of the state. Okay. Facebook is doing more layoffs? How many?

Thousands. They didn't get percentage? No. All right. From the Wall Street Journal, this is Rich Session in chart form. Bars, hotels, and restaurants become the economy's fastest growing employers. Look at this chart of leisure and hospitality and then technology information since the start of 2022. Leisure and hospitality continues to go up.

Information is rolling over and falling. That's the rich session right there. So Hyatt, hotels, all-time high, the airlines were acting very well, the casinos. When I was on my flight home from Phoenix, what a new whale move I pulled? I forgot to select my seat, and I was in the second to last row in the middle. But I got lucky because there was nobody sitting next to me, so I ended up moving into the window. Okay. Middle seat's tough. Middle seat's rough.

You know this whole thing? This is not necessarily a mean, but you could tell a lot from somebody by how they treat a waiter or what they do with their grocery card i'm thinking about last night basically how people behave when no one is watching like is a good barometer so i don't if this is exactly in that bucket but if you put your seat back i guess nobody's technically watching you well maybe the person behind you is all right bad example no what i'm saying is if you put your seat back that's a fairly good barometer of what that character somebody has who puts their seat back on a plane. It was outrageous. This lady, I could smell her hair. That's how close she was. Is that so rude?

I'm not a fan. I know it's an option. I'm not a fan of people putting it back. Here's what I don't like when they do this and just constantly move it back more and push it. I don't know. Doesn't bother them out. All right. So let's get it. Hang on. I was very, come on. I want to get into your carambatic moments as we're talking about leisure and hospitality. The greatest thing ever because like a month ago or two months ago, whatever, where you're in Houston and you said, I never complain and you talk about sending a salad back or something, and then we had a drink issue. Let's remind the listeners, I asked for Casamigos on the Rocks. She gave me and Josh Claude Azul, and she gave you, whoever else ordered margues.

She put Claudezazzoal in the margaritas, which I didn't ask for, and I didn't order. It was fair. And so I got like, I don't know how many it ordered. It was maybe five drinks for like $200-something. So. It was ridiculous. I paid for it, and then I said, hey, I just FYI, I did not ask for classes. And you were very level-headed.

So let me tell this story from my perspective last night. Wait, let me just say one thing. And then you can tell your story. Friend of the show, Phil Huber, who was with us when I said something about the steak. That's right. You compete about stakes, too. Phil said, try not to send back any stakes while you're here. So I said, not quite a steak, but a drink.

He said, you didn't. So, all right, Ben, go ahead. So we're saying at a nice hotel in the West Loop. It's called the Hoxton. Hoxton Hotel. We're saying at the Hoxton Hotel. And we go to meet a friend who lives in Chicago. Your father, Hawkson is a lovely hotel, except for my awful experience.

I will never ever stay there again. So me and you and you and you and Josh and Graham are all having a drink. And you get the bill. We have to go because we have dinner plans. And you look at the bill and your jaw dropped. And I swear you didn't say anything. You just said, this bill, oh my gosh. And you looked at it for 30 seconds.

And I kept looking at you being like, what? I thought you were going to say, this is so much cheaper than New York. I'm getting angry again. I thought that's what you were going to say. And you look at it and you say, guys, look at it. And you say, guys, look at this. I am not an angry person. I don't yell, not a yeller.

And I didn't yell last night. But my blood pressure doesn't generally rise because I'm angry. I've never seen you this anger. You were perplexed. So you look at this drink, and it was a, Josh had gotten two tequila on the rocks. And they were $86 a drink. And the problem was Josh asked for a certain type of tequila.

And they said, we won't have many of those. All we have is this. And it was the Kase Azul. Clase Azul. Top shelf one. It's not their fault. I'm a huge fan of the drink. Which you said is like a $150 bottle, and they charged him $86 for a drink.

And it was, what, an ounce and a half of tequila, maybe? And you talked to the waitress. She said, let me get my manager. Honestly, $86, it's offensive. It's so egregious. The best move was the manager came to talk to you. He stood his ground, and he said, the price is on the menu, and he wouldn't give it back. And the price was not on the menu.

No way. I'm not 100% sure, but I feel like, fine, keep going. And you even brought him over to the side to talk to him, and I just laughed because that was the difference between a Midwestern person like me and a New Yorker, I would have sworn under my breath and I would have signed a check and I would have said, I can't believe I just paid that for a drink. And you talk to the manager. And then Josh was sitting there for 30 seconds saying, I got to get in on this. And you guys both went. And I mean, I still say credit to him. He stood his ground, but he was abrasive. I said, people pay 86. His attitude was like, what?

I said, it's $86 for a drink. He goes, people pay that all day every day. He was, people coming here, they spent $700, he was like getting mad at us. And I'm like, dude, this is nuts. This is egregious. You should have told us. And I understand that a waiter is never going to be like, hey, this is an expensive drink because they don't want to be presumptuous. But come on, I've had that drink in the past. And I think like $50 is a lot for a poor. 86 was gross. Shame on you. I've never seen a, I've never seen a drink that much before. I'm a little surprise. Usually there's some wiggle room there where you could say, you know what, okay, we're going to take one of those off your bill. I thought for sure that was going to happen, and I was a little

surprised they didn't. But yes, I wouldn't have said something, but I do understand why you did. And regardless, it was funny. We got a good story out of it. Didn't feel funny. You were, you were hot. Yeah, I still am. Eighty-six dollars for a drink is crazy. But again, I would have never said anything. You know, Duncan, throw this on on the YouTube channel. Like, if you get an $86 drink, yes or no, do you say something to the waiter? I feel like that's reasonable. I didn't realize, too, that it was two drinks. So it was, we're talking.

I mean, at that point, Jerome Powell needs to raise that restaurant's interest rates. Because I saw the toll and I'm like, wait, what? Yes. All right. We help the economy out. We're keeping consumer spending going. All right. So that's a wild story about Silvergate Bank.

What is Silvergate Bank doing now? Are they basically out of business? I haven't been following this. Well, the stock fell 50 some odd percent the other day. and Coinbase put out a statement. So basically, Silvergate, I don't know that they're like the only legitimate bank in crypto, actual regulated bank that deals with crypto customers. I kind of feel like they are, but I'm not 100% sure.

Coinbase put out a tweet. At Coinbase, all client funds continue to be safe, accessible, and available. In light of recent developments and out of an abundance of caution, Coinbase is no longer accepting or initiating payments to or from Silvergate. So Silvergate had a market cap at its peak of $5.9 billion, and now it is less than $200 million. We spoke about this a few weeks ago. Mark Rubenstein at this fantastic subsect. And an interest wrote, for a while, it looked like the bank had averted disaster.

Quote, I want to just say congratulations. An analyst remarked on a call that bank hosted for investors at the beginning of January. Quote, I don't think that there are that many banks that could stomach a 70% decline in deposits and come out of it with no operational liquidity issues. So I do think that bears acknowledgement, end quote. Right? We spoke about that. But then here's what happened.

This is Mark. But neither the analyst nor company management anticipated the risk of the federal home loan bank would ask for its money back. This week, Silvergate revealed that the bank had done just that, forcing it to sell further securities to make the repayment. The FAAHB, and we spoke about this, why are they making loans to Silvergate? But they made a substantial loan.

They asked for the money back and the bank. The share is collapsed. Coin-Dess said, a traditional regulated depository institution can't make it without a deposit base and Silvergate's coffers were drawn down quickly as major. Crypto clients deal with their own collapses, bankracies, and legal disputes that require an instant vacuuming of their liquid cash.

year. This is the implication. Sorry. The options for you, the U.S. banking are getting now. There's a Federal Reserve and other banking agencies warn they don't want the lenders. They oversee getting overly exposed to the digital asset sector. So what does this mean for crypto? That it's going to have to be a traditional financial institution to make this happen. It's not going to be a new place coming along. But if you're about to say fidelity for custody, I'm not talking about custody. I'm talking about banking relationships. I know. I'm saying, and it's going to have to be Goldman Sachs or J.P. Moore, it's maybe trust comes back someday, but isn't that the only way it happens?

is if one of these big places says we're going to do this? CoinBiss has to have other banking partners, no? I have no idea. I'm looking at this chart. You said it went to a high of $5.9 billion market cap, and that's in November 2021. I think that's when most of like the bigger tech stuff topped out. And that's when like crypto topped out, I think, at one point.

It was 2020 and 2021 the biggest paper gains and then paper losses in history in terms of like the speed at which occurred. I mean, obviously the dollar amount is bigger. but the speed at which people got really wealthy on paper and then lost that wealth, that has to be one of the fastest times in history for that. Because the internet bubble took a few years to build up. And I know that those things crashed too. But I just can't imagine how many people thought that they were set for life and lost it all.

Are you see any new listings in your neighborhood? Houses? No. Yeah, same. No. I mean, if you pull up the Zillow in the area, there's nothing. And companies in my neighborhood, like I'm looking at the map right now. Now, jeez, there's nothing.

All right, let's get into real estate. Housing developers that miss their window that built towards the tail end of middle of 22 that like just finished that were listing for a million, they are screwed. There's one house that's been listed for a million for eight months. It's never getting sold for a million. One of the parks by us where kids play soccer and stuff across the street, there was a big horse farm. And the horse farm sold and they cleared it all out and they're going to put like 40 high end

million dollar and up. Right now there's one. You're right. They missed their window. I'm looking at this one house in my neighborhood for $1.4 million dollars, which is there's not legitimately $1.4 million house of my neighbor. Maybe a few on the water, but not this one. Did you figure out who your new neighbor is yet for the one that sold across the street?

I don't know. I don't know that it's sold. I'm not sure what's going on. All right. So this chart was making the rounds last week on social media. This is from Golden Sachs. 99% of outstanding mortgages have interest rates below the current rate. And this is for 30 years.

Obviously, we've been talking a lot about this, but it shows the distribution of rates. Really good chart. good chart. It's funny, the highest rate is right at 3%. And this explains a lot. Can you skip a few charts? Look at the chart. Most U.S. mortgages are pandemic mortgages. Did you see this one? Yes. This shows the share of U.S. mortgage by vintage. It looks at between 2020, 2021 and 2022, that's 50%. So that was more than half. More than half have been originated as this 2020 or after. Because everyone refinanced.

The pandemic changed everything. Yes. It forced interest rates to zero. It forced people out of the city. Look at this other one from Redfin. It talks about typical U.S. homeowners spends 12.3 years in their home in 2005, it was six and a half years. And look at this next one by age. But wait, why do you think it is because starter homes are not a thing anymore? That could be part of it. What else would it be? Well, also, is that 2005 people were flipping houses? Yeah, that could be part of it. But it fell a little bit, but it's risen almost every year. I think it's probably, too, the housing collapse, the people who held under their

houses, that lower prices, didn't want to sell into a bad market. But look, look of this tenure. They do it by under 35, 35 to 64 and 65 and older. 35% of people 65 and older have lived in their home 33 years or more. 19% lived at 23 to 32 years. My parents moved into the house they're in now in 1991, 1992, and have been in it ever since. Do you think that this will hold, because it shows people under 35, 49% of them are three years or less. Do you think young people have more fickle taste than will move more? No, moving sucks. It doesn't. It Doesn't that number, 33 years or more? I don't see. I'm moving any. Nobody's moving now.

Well, right. If they have a. My uncle, who actually did just move out of his house, lived in his house in my town for 40-something years, and he would joke during the pandemic when people were asking if he wanted to sell his house. Because remember when brokers would just drive around and ask if you want to sell your house? That's a real thing. His answer would be, move. I'm just getting settled in. But I can see wanting to stay in my house because of the mortgage rate, but couldn't you see in, I don't know, five or ten years getting the itchy trigger finger to just try to move somewhere else? Or could you see yourself living in your house for 30 years? Do you think that's

a possibility? That is a weird thing to think about. My brain doesn't work that way. My parents have been in their house as this number, 33 years, I think. What do you think your parents would have said 30 years ago? They probably would have said, who knows? Probably not. Sounds like a long time. My brother and I were joking the other day. They've probably spent more on upgrades in the house than they bought it for. New roof, new windows, new deck, all that stuff. More than It was when they bought it in the 1990s. All right, Colin Roche had a chart of the week, and he goes back to 2000, and he compares U.S. home prices to rents in the U.S.

That's funny. He had a chart of the week. Yeah. Like your forecast of the week, your prediction of the week. We haven't gotten one in a while from you. Come on, put it out there. Actually. Analyst who predicted, what was your big prediction that you got in Market Watch for?

The market would drop 10% last year. Oh, yeah. And that Bezos would come back to Amazon. Let me turn this on you. So when I was in Scottsdale, what I had to dinner with friends, and they were like, I know you don't like talking stocks, but just, let's just have some fun. What stock would you pick? If you had to pick one stock that would quintuple, I think he said four or five X over the next 10 years.

What is that as like an annual return? 20 something? What's the rule of 72? I don't know. A lot. A lot, yeah. Nothing immediately came to mind because at that point, you're thinking of a company who's got a market cap that could go from 100 to 500 or 200 to 100. I don't know enough small cap stocks.

I pick a small cap is what I would. How would I pick a stock? How would I know which stock that's already 100 billion? to go to 500. So it was an interesting exercise. It's Casa Azul, a public-traded company? I'll buy if they're charging $86 a drink. You know what I found out is a publicly traded company this week? Because I saw it on quarter's upcoming earnings this week. Am I making this up? Hugo Boss? That makes sense. No. You were definitely a Hugo Boss guy. No. Maybe if you shopped at Macy's you buy Hugo Boss, but let's say. Oh, the tickers. Wait, Hugo Boss is, oh, I guess it makes

sense. It's a foreign company. Okay, I guess you know the Don Draper meme? I don't think about you at all. Sorry, I don't think about Hugo Boss. All right. So the difference between home prices and rents got to like 50% in the housing bubble of the early 2000s. Then it went from 15% in 2020 to 40% now. And Cullen's whole thing is basically housing prices have to come down because affordability is so bad, something we've been talking about. And he thinks that it just takes one. And I think part of it is like the endowment effect of I own this home. So I think it's worth more. Like you could look at the house down the street and go, those people are nuts. They think you're going to get that. But you look at your own.

a home price and you go, no, I think our house is still pretty high. It's like the endowment effect thing. But my question is looking at this chart, shouldn't home ownership offer some sort of premium to rents? Like, why should they grow together? Shouldn't taking on the risk, taking on the upkeep, taking on the insurance, the taxes, the maintenance, all that stuff? I guess you can make the counterpoint is that homeownership is so expensive that maybe it should trade at a discount to rent. Don't you think being a homeowner is a way bigger risk than being a renter in certain instances. And therefore, it should trade it at a discount. I'm saying that's why it trades at a premium. If it's riskier, it should trade a discount. It's kind of the idea of why

stocks earn a higher return than bonds, because they're riskier. So they should have a higher return. That's why housing should have a higher return than rent. And therefore, should trade it a discount. That's like saying stocks should trade a discount to bonds in terms of returns. If it's riskier, it should not trade it a discount. Well, they should. It should give you a premium return. That's what I'm saying. So I'm saying it doesn't make sense that housing prices are growing up 40% more than rents, but I think it makes sense that there should be a premium and housing prices should grow faster than rents. I mentioned Duncan to drop this in the YouTube, whether you would say something about it. You know what? Let's guess. What do you think the audience is going to say?

I feel like 70% of the audience will say yes, I will say something. About what? Oh, to the manager? Yeah. I would love to see it by geography. That's a good one. Probably 95% of New Yorkers. It was a culture shock to me being a Midwesterner and how everyone is so quiet and calm to the first time I'm in the office and you guys are just shouting at each other from office to office yelling and then two minutes later like laughing and like nothing happened. I think that certain parts of the country have. Yeah, I've had a lot of people say like, are you and John, like, do you like not like each other? Right. Because we sort of go back and forth on what are your thoughts? It's like, this is how we express love. I feel like people in, maybe you just have to, but people in New York

enjoy confrontation more. Probably because you had to. It's like evolution. If you're going to live in a city with 8 million people, you have to have confrontation every once in a while. Yeah, I would not say that I enjoy confrontation. I would strongly prefer not to have done that last night, but I couldn't help it. I should have videotaped it. It was just... You know the meme of like the guy talking to the girl, like mansplaining something? You know that meme? Yes.

If you could have just seen me just with no volume. Anyway, Don could drop the survey in last week. Well, because we were talking about the earnings yield versus the interest on either the six month or one year or whatever we're looking at. Will 5% T-bills change how you invest? 57% of people said yes. But do you think that is? Guess what?

That makes sense. The thing, I know it's all one bucket and it's mental accounting, but don't you view cash as separate from your portfolio? Like, I view investing and then cash as two different things. Like, I know that you could change your stock allocation and my Tables, but I look at it. For me, it's like I'm just getting a way better yield on my cash. I'm like a barbell portfolio. But you're not saying anything different.

For me, I separate it out. I'm not changing my asset allocation because of this. I'm changing my cash allocation. Cash is an asset. I'm not saying I'm holding more cash. Oh, you're not? No. Are you? Yes.

You're holding more cash because T bills are high. So here's the other argument that I've heard from a lot of people. Okay, great. T bills are 5%. Inflation is six. I'm a nominal guy. There I said it. Most people are until they want to make a different.

But wait, it's not impacting my 401K, obviously. So my 401k automated purchases, it's not impacting that. My betterment accounts, it's not impacting that. my automated investing is not being impacted by here's the problem with trying to time the market and be and i for retirees i totally understand putting more money in t bills but if you're a young person and you're trying to time the market because t bill yields are 5 percent guess what yeah i'm not doing that stocks are going to go up a lot before t bill yields come down so if you're trying to like i'm going to hold t bill yields and then i'll buy stock like the stock market is going to take off

in preparation for t bill yields going down is the way i'm thinking of it absolutely so trying to time that out I've got something. I've got another story. This is from car dealership guy. This is nuts. Car payments have hit record highs. Nearly 15% of drivers who financed a new vehicle toward the end of 2022 are paying $1,000 a month.

See? That's nuts. Imagine paying, I mean, I'm sure you can imagine. $12,000 a year post-tax for one car. Plus think about all the upkeep and maintenance on a car with that much of the payment. But I don't want to say it's nuts. I'm not trying to shame anybody. But I'm just saying the fact that,

15% of drivers. That's a lot. My whole thing on spend shaming is, it's okay to spend shame if you're spending this much money and you're not saving. If you're saving money and you have your kids 529 take care of and you got your IRA maxed out and you're putting money aside in your 401k and you want to do a $1,000 car payment, have that. I looked at my kids $529 balances the other day.

I'm not sure why. I just said, oh, I wonder how much money is in there. There's a lot of money in there. I looked at mine too for my kid. I started the day that they were born, all of them pretty much. So I was a little late with Kobe, but he already has $30,000. It just adds up. It does.

It's nice, right? It's out of side out of mind. Every month, money goes in when he gets presents. Some of it goes there. I have a better money account for them. But it is really amazing. Not having looked in like five years and open up, it's like, whoa. It's nice, right?

That'll pay for like half a semester. Not bad. But here's the thing. So if you're paying $1,000 a month for a car and you're saying inflation is killing me, I can't save any money, then I have a problem with your spending habits. How's that? Fine. All right.

So my wife drives an Audi SUV. So are you going to shame me? Just how you say it. Is it Audi or Audi? I mean, I say Audi. I know you say Audi. I don't know who might have to do a survey on this one, too. All right.

We bought her car because her lease was up six, I don't know, a year ago. You got a good deal on it, right? We had a good deal. The monthly payments went down by 200, but I bought a warranty, which made it go up by 100. So I saved $100 a month by buying the car. Warranties are for suckers. Oh, contrary, my friend. It worked? I'm so glad you said that.

In my mind, and Robin was shocked that I did it because it's a German car. I own it. So I said, all right, yeah. I mean, I didn't really think, I did think hard about it. I said, no, I'll do it. So I'll regret not doing it. Well, she called me last week, and she goes, I'm picking Kobe up, and the car just died. I, like, slowly moved to the side of the road. So we took it to Audi. They had to, like, go through their warranty insurance claim process. The transmission died. The transmission was $8,000. And your warranty picked it up. My warranty picked it up. How does a transmission die of a car that's three or four years old? I would assume that would happen to, like, a 15-year-old car. It was, like, 60,000 miles, I think.

But anyway, it's not nuts. So now we're driving the A5. And I'm used to driving. I drive a Jeep. So I'm used to being up. I feel like I'm getting in and I'm sitting on the ground. Is that a sedan? It's a sedan.

It feels like a sedan, doesn't it? I inspected you. I put it in the dock. It feels like a go card. It really feels like a go card. I love, if I could drive a Honda cord for the rest of my life, I would. I have mixed feelings on cars. On the one hand, I know Morgan spoke about this a lot in his book.

And on his podcast, which, by the way, was awesome. Morgan House has a new podcast. On the one hand, I do like nice cars, but my knee-jerk reaction, I know this isn't fair, my knee-jerk reaction is to look at a guy in a nice car, I'm like, what a douche. Yes.

But I still want a nice car. But I'm afraid of being perceived that way. I don't want to be judged that way. I could never drive a convertible in a million years. I'm just not a convertible guy. Maybe talk about asking me in 10 years when I'm going through mid-life crisis, but I'm an A-to-B guy.

I understand people who like cars, and that's your thing. I'm fine with it. but from the Wall Street Journal, interesting. I've seen some of these things before. IRS released its income and tax stats for 2020. Top 1% of earners paid 42.3% of countries' income taxes. It's a two-decade high for the 1%, which is kind of surprising.

I don't think you'd realize that. The top 5% of earners reported 38.1% of total AGI, but paid 62.7% of all income taxes. I'm saying we need to cut taxes for the rich. I agree. The bottom 50% of earners reported 10.2% of AGI, but paid 2.3% of all income taxes. I don't know what to do with this number, but this stuff is always interesting to me. No, no, no, but this is important because it's complicated. It's not black or white, but rich people pay a lot of taxes.

So don't quit your day job. It's DQYDJ.com. Huh? Has, you ever heard that one before? Don't quit your day job. It's a really cool website. I think it's done by a software guy, forgive me a camera name, but he takes all the data from the Fed and breaks it down.

So he did individual income percentiles, 2022 versus 2021, and he breaks him. down by median 75%, or top 25%, top 10%, top 1%. What do you think the top 1% is to be in for income per year, to be in the top 1%? What do you have to make? 275? Okay, it's 400. 130,000 to be in the top 10% of incomes. 130?

Again, this is 100% geographically skewed. Probably. I'm just saying, like, it matters where you are. The numbers change location to location. Okay, so let me ask you this. What's your number where it doesn't matter anymore? If you live in New York or San Francisco or Iowa. Income?

Yes. If you make a certain amount, you can't complain anymore because you're rich regardless of where you live. I know this is a very personal question. What's my number? Where what? Or you don't get the complaint anymore that like, oh, I make $200 grand a year, but I live in San Francisco and rent costs $8,000 a month. I don't know what is it in San Francisco. New York, whatever.

You think about it. $500? Okay. And you can't complain anymore? I don't know. What would you say? I think anyone that makes over $200,000 a year, is rich or is well off.

Wow. There are going to be some people that vehemently disagree with you. Well, I said my kids to private school in New York and okay. No, no, no. With $200,000 in New York,

that's not rich in New York. All right. I'm going to come back prepared with some data next week. Okay. Wow, that's a take. Send your hate here. You couldn't get a $86 tequila every night.

All right. We're running late. Let's move on because we've got some. There's like a lot of, I quit drinking going on on the internet. And Drison was doing it this week. But have you noticed that's become like a movement? Is that the new VC thing?

You're quitting drinking? It is a movement. I got to say... I love drinking. I do too. The one thing I've learned as an old person is that how much better it is to be in moderation. When I was younger, I was in college. You know, everyone binge drinking and, like, out of control probably.

I've learned, like, here's the perfect number of drinks to have in a night and feel okay and not feel like crap than I can. I've gotten very good to that, too. Most of the time, I feel like crap is when I come hang out with you. And credit to you, though, last night, you exited early. That was very tired. 10 p.m. maybe 9.30? I don't stay out. I'm a night out. But also, I reserve the right to change my mind. People are at different points, stages of their life. Maybe a subject one day. Maybe not. I don't think I ever will. People who do, I don't judge, but I enjoy. Sometimes I'm

jealous of people who drink coffee. Like the way my wife, she has like her whole system. She goes to Starbucks. It's almost more about the whole process than it is about the drink itself. One of my biggest complaints with coffee. No one ever finishes a coffee. Have you ever seen a coffee cup that's empty. Sir. Every time I clean up coffee cups, there's this much. I will say, that's a good observation. There is often...

No one ever finishes a cup of coffee. That part isn't true, but you're right. There are oftentimes... Back to the coffee thing, the process of... It's just like the routine. The thing of like just on a Friday night, the week's over, the weekend's here, sitting down, everyone's in bed, I'm having a drink. There's just something about that.

It's not even like what the alcohol does to. It's just like that relaxation piece. You read it for the articles. You ever see the video of the comedian? Tom, G., I forget his last name, talking about how much he loves to drink. He's like, I just love one of friends says, hey, you want to grab a drink.

Like, I just want to be healthy enough so that I could never stop drinking. Here you go. All right, so on the flight home from Phoenix, I was feeling fairly, I don't want to say severe turbulence. I don't know what severe is, but it was making me uncomfortable.

My hands were getting sweaty. So I googled could turbulence take down an airplane? And I felt much better about it. I was quite nervous. Not only do airplanes almost never go down from turbulence, so there's really nothing to worry about. But I also found that this is from the internet, so I don't know if it's true, we might soon be able to avoid turbulence altogether. Airlines are testing technology that can help airplanes avoid turbulence by using

ultraviolet lasers that said pulses into the air ahead. Really? How cool is that? You don't think people are going to be like, I'm not riding on a laser machine? I'm all for us. That's kind of cool. Honestly, turbulence doesn't really bother me for some reason. Maybe that's why I'm such a good investor because I'm patient. I'm willing to ride out the turbulence. That was kind of Not the brag, wasn't it? Anyway. Good for you. All right.

Let's skip this AI stuff. I'm going to set the stage for this. We're going to bring in Sean. Sean works with Ben and I at Red Holt's Health Management and the Advisors. He's our research analyst. And I was talking to Sean, I don't know, two weeks ago. Now, just a reminder for the audience, we're going to talk about movies. Sean said that the departed was overrated.

He said it didn't age well. It's not an old movie. And overrated. It's overrated. How old are you? I just turned 25. No, the reason we have. That's because Sean said he thinks black mass was better than the departed.

Yeah, I'm sorry. And we said it was one of the worst movie takes we've ever heard in our life. Freezing cold take. So last week or a couple weeks ago, I said to Sean, hey, you ever see hereditary? And he goes, have I? It's in my top ten. And I said, listen, I like hereditary as much as the next guy. But that is an egregious, egregious take.

So I said, you know what? If that's in your top ten, I got to know what else is in your top ten. So we invited Sean on to give us this top ten. Sean, I turn the mic over to you. Hand up. I thought long and hard about it, and that was a bad take. I'm going to stick with my Black Mask take because I think that's still a great take. I don't care.

I don't care. That's the right take. Wait, what is the take on Black Mass? What is the Black Mass take? That it's better than Departed? That in today's standards, the Departed didn't age well. Therefore, it's better than departed. All right, let's move on.

Go ahead. I think you guys brought me on here to make fun of my movie list, but this is a good movie list, and I'm bullish on it. I don't want to make fun. And I just genuinely curious. It's not my intention to dunk on you. Okay, well, I mean, it's pretty cut and dry. So, 10 is Spotlight.

Let's go slow. So Spotlight is the guy who played a hole. I'm going to blank at his name. Yeah, I can't remember his name either. Mark Ruffalo. It's a tough rewatch, though. It's pretty dark. It's a well-done movie.

It's a tough. True story. I don't see any dunkable movies on here. No, there's no dunkable movies on here. Wait, you're looking at this list? I'm not looking at the list. I'm listening to Sean. Okay, he's got his list right here.

It's in the dock. Okay, so nine. Inglorious Bastards, I don't think there's any discussions ever. Great movie. One of my favorites as well. Silence of the Lambs, eight. Okay, not controversial? This one, this might piss Ben off a little bit.

Star Wars Episode 4, A New Hope. I'm going to use your own argument against you. If you watch Star Wars Now and the acting edit, I know it was such a pop cultural phenomenon. I couldn't believe how bad all the actors were besides Harrison Ford. It's really funny you mentioned that because Kobe was super into Star Wars at Disney. So when we got home this week, I said, do you want to watch Star Wars? the actual Star Wars with Darth Vader and C-3Pio. So he said, yes, he got bored after 20 minutes.

I feel like Star Wars is one of the movies that I've seen a billion times, but I haven't seen in 20 years. My reasoning is without Star Wars, you're not going to have the series, like Harry Potter, Lord of the Rings, the Marvel Cinematic Universe. You don't even find yourself. Star Wars is amazing. Without the departed, you don't get Black Mass. All right, keep going.

Number seven. We're actually at six. No country for old men. Overrated. No discussion there. Well, there's a discussion. Whoa. Overrated.

it's a fine movie that's a Cohen brothers I think so I really like that movie I hated the ending yeah it's a good movie that's a good movie well it's the book though

that's a book issue isn't it's a good I think it's only overrated because it is good but it's not as good as most people say but that's just my opinion keep going

Dark Night at 5 okay that might be a hot take no fair no okay Godfather at 4 Duncan thought this was

way way too far back no that's he thought it should be earlier than number 4 Duncan's not on right now this is Sean's show that's fair that's true

this is Sean Sean's show and Sean show has the Wolf of Wall Street at three. Does that make you guys mad? I didn't love Wolf of Wall Street as much as most people. I'm not quite sure why, but people love that movie. Well, I just think Jordan Belfort's a scumbag, so that's why I didn't like it. Definitely. But I feel like it shows that he is a scumbag. It's the classic Scorsese movie where everything's really good and then everything is like completely awesome. Leo and Jonah Hell were incredible. So, all right, not a bad take. All right, two and one. Number two, there will be blood. We talked about this one last night at dinner

You did? Yeah, yeah I think it's incredibly overrated We literally spoke about this last night I stuck up for it I like it. I would never put it in my top Whatever list Okay, I like it

Okay, I understand people love that movie All right, number one Number one, good fellas It's just, it's unbelievable for me It's timeless Outta boy I give you credit for putting this together Sean, it would take me

I would be the guy in Always Sunny With the yarn Trying to put together Top 10 list I could never do it because it would take me too long. Yeah. Good list.

I have one more comment to make that is not movie related and it's a prediction for this week. I think that Michael is going to get roasted in the comments this week. $80 drinks. My kid has $30K, wife drives an adie,

200K is under mixed salary. You're done. You're done this week. That's a great prediction. That's all I was saying. Thank you. Duncan brought that up too. Wait a minute.

I didn't say 200K was not a good salary. I think Michael just started sweating. I did not I did not You said you're going to complain You said you'd complain at 200k No I didn't Under 500K you're complaining

No I didn't Ben said when do you have the right Listen $200,000 is a ton of money But it's not rich Okay That's the best

Great income Best prediction I've heard All right Bye Sean We got to do our recommendations Bye I'm not ordering $86 glasses of tequila

I'm getting upset And wait a minute Why should I get roasted For contributing to my kids 529 That was pretty good All right, really quick. I want to do some recommendations of our own. Kudos to Sean putting his top ten.

Well, guess what? If I get roasted, I won't know about it. I don't look at the comments that Duncan would tell me. I'll look for you. There's going to be a lot of Karen Batnick's in it. Can we just call this episode Karen Batnick? I'm kidding. I pulled two stop losses on movies where I shut them off within the first 10 and 15 minutes.

One was your place or mine with Ashton Kutcher and Reese Witherspoon on Netflix. Just, it was bad. Never heard of it. It's a rom-com that came out on Netflix like three or four weeks ago. Babylon. I tried Babylon on Paramount Plus. Fantasy loves that movie. I just, I didn't see the point of it.

And then we started putting on a movie, somebody I used to know on Amazon Prime, Dave Franco movie. He made it, his wife, Jay Ellis, the guy who's in Top Gun. It's not a great movie, but it's like a decent, like 6.0 rom-com. It was actually pretty well done. It had some funny parts. It was like a best friend's wedding story, like updated a little bit. Not bad.

One other one. My guilty pleasure show is you on Netflix. We just watched this first half of the fourth season. Oh, Robin loves that. It's so unrealistic, but it's another show that took a shot at billionaire people, young billionaire people and how out of touch they are. And it's so over the top, but it's very suspenseful. It's surprising in some ways, and it's actually still pretty good, four seasons in. Is Courtney watching Sex Life?

I don't know what that one is. It's like soft-car porn is maybe a bit too strong. I feel like a lot of the wives were watching that this weekend. I'll give one of my top ten movies, another Colin Brothers movie. It was on this weekend. I saw a little bit of it. And I don't know if I could explain What I love so much about this movie It's probably just very It's just the writing and the acting

I think it's just not overcomplicate things Fargo The movie Fargo Is absolutely my top ten I don't know if I could fill out my top ten But that's there All right On the airplane

So I do work on the airplanes Unless there's a movie that I Have this on my list That I haven't seen I'm like oh This is a great opportunity To watch a movie So I watched in the background

Rewatched Top Gun Maverick amazing people are always watching that on planes i noticed godfather too the original rocky it's slow it's very slow it's not what you think it's not like the other movies it's very slow 21 jump street is hilarious i like that one love that i do too 22 jump street is pretty funny too i never saw 22 but i was thinking i'm not running out of movies i took a few flights and i haven't seen anything new there aren't that many good movies coming out that's why i've not yet been to the theater to see creed but creed smashed it at the box office kind of surprised me i didn't

watch past the first one 8.6 million domestic opening its biggest opening weekend for a sports movie in film history. It's also the first sports movie ever to pass 100 million dollars at the global box office and it's open a weekend. That's shocking. I like the first one. I never saw a second one. Big fan. Big, big fan. All right, there's a movie called This Is Where I Leave You. And it's kind of incredible how much power Netflix has. I saw it in the top 10. It was number one, I think. So this is where I leave you is from 2014. Jason Bateman, Tina Faye, Adam Driver, and Corey stole the bald guy from billions. They're siblings.

It's a great cast. Their mother is Jane Fonda. Some of the girlfriend slash wives are Rose Byrne, Connie Britton, who you know the face, Catherine Hahn. I don't know if this is necessarily a good movie or how good it was, but this was a movie that spoke to me because... I like it. It's about a Jewish family that sits Shiva. The four siblings are kind of nuts. Their dad dies.

So there's Shiva, there's siblings, there's babies and fathers. There's divorce, there's Misha Goss. Timothy Oliphant is in it. Love him. Briefly. And I'm watching it. There's a part of the hockey rink. And I press pause, I'm like, wait a minute.

Is that my town? It was shot in my town. Oh, really? That hockey rink is Newbridge in Belmore. I've seen that movie before. I think I might even mention on the pod. I think it's worth watching. Okay.

Am I out of touch, Ben? Sean, as you worried. We'll see in the comments. Well, the audience aside. All right. Animal Spiritspod at gmail.com. And we will see you next time. Thank you.