Kingsview CIO Scott Martin On Fox Business News – Cavuto Coast to Coast 11.29.24

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EDWARD LAWRENCE:  So, taking a look at markets on this shortened trading day, the Dow and S&P just hit all-time highs and are on pace for another record. Retailers are also up with this holiday shopping season underway. We have Kingsview Asset Management CIO and Fox News contributor Scott Martin joining us to discuss this. The markets close in about an hour. This is the last trading day of the month, the last trading day of the week. The volume’s light, but what are you looking at today?

SCOTT MARTIN:  I think I’m going to get into the fervor of being with you and seeing another record set. And look, Adobe talked about it, and you covered it with Matt Shea in the previous segment—the consumer is doing okay. Boys and girls, the economy is stronger than most people think, despite what’s been said all year long, except for me, Neil Cavuto, and yourself. The reality is, people need to catch up to these hot new highs and the retail sales and savings that are out there. I’m going to do the same, Edward. I’m going to go buy Lululemon today, set a new personal best at Costco grocery shopping, and maybe even stop by Canada Goose. These are all stocks we own and love.

EDWARD LAWRENCE:  Buying where you shop and what you use—yeah, my wife loves Lululemon. So, Scott, we’ve talked about this in the past. Regardless of Black Friday weekend spending, consumers are under pressure. When you look at record credit card debt, will we see good short-term numbers for retailers? And would you buy retail stocks long-term?

SCOTT MARTIN:  I would, Edward, and you’ve got to buy selectively. Is Costco retail? Absolutely, because they sell just about everything. Look at Lululemon and Canada Goose—two companies that have been hit hard. Lululemon, to use an analogy, has been squeezed, but they’re rebounding strong. In retail, it’s about knowing where you shop, understanding the deals, and paying attention to profit margins and net income. There are good opportunities, not just in stores but in the stocks themselves.

EDWARD LAWRENCE:  Is this about consumers managing their debt, or are they getting ahead? Do you think record credit card debt will decrease next year?

SCOTT MARTIN:  I think record debt will actually go up—much like it does for the government. But debt isn’t inherently bad as long as it’s serviced properly. Sure, stats show consumers are at record debt levels, but that’s partly because there are more consumers accessing credit. The key is managing and servicing the debt. Interest rates have come down over the years, though they’re starting to tick back up. If those rates stabilize and the economy strengthens, the consumer should follow suit.

EDWARD LAWRENCE:  Let’s talk about Bitcoin. It’s soaring again today, inching toward $100,000 per coin. Why the recent volatility?

SCOTT MARTIN:  A lot of people are chasing Bitcoin, while others are betting against it. There’s a bit of a do-si-do going on—buying at $90,000, selling at $95,000, then buying again at $98,000, and selling at $100,000. Bitcoin is no longer just a speculative play; it has strong demand and finite supply. That combination is driving the price higher.

EDWARD LAWRENCE:  Is $100,000 the ceiling, or is it just a threshold to pass?

SCOTT MARTIN:  It might be the ceiling for today, but I think we’ll see it break through next week. We could even see $125,000 or $150,000 if demand continues to grow.

EDWARD LAWRENCE:  Are retail investors coming back into crypto, or are institutional investors driving this?

SCOTT MARTIN:  It’s both. The introduction of Bitcoin ETFs has made it easier for retail investors to get exposure, not just institutions. You can now buy ETFs tied to Bitcoin’s spot price directly in brokerage accounts, unlike before when futures were the only option. This accessibility is broadening the market.

EDWARD LAWRENCE:  If things hold, the Dow and S&P could close at record highs today. Do you expect this trend to continue over the next six to eight months, or is this the top?

SCOTT MARTIN:  We’ll see fits and starts—volatility is natural when enthusiasm runs high. But overall, I think we’re in a good trend, especially with the new administration taking office soon.

EDWARD LAWRENCE:  Retailers are certainly feeling optimistic—online sales are already up 8.8%. Scott Martin, thank you for your insights.

SCOTT MARTIN:  Always a pleasure, Edward. See you next time.