This past week was a real eye opener for Wall Street. The Big 5 stocks on the Nasdaq (Alphabet, Amazon, Apple, Facebook and Microsoft) have gained a stunning $675 billion in market cap. This puts them near $3 trillion and well over 10% of the entire US equity market.
Are you kidding me?
No doubt these tech giants rule the roost when it comes to the number of shares and share price. But there is a darker side in all of this hype that you should know about…
For instance, they’ve all been reporting earnings that simply do not justify the level of prices the market has been giving them. It’s all been manipulated.
Thank Internet Marketers For Facebook’s Earnings
Facebook has been reporting stellar earnings because their ad revenue has been rising (thanks to us internet marketers!).
Now stick with me here because it gets better…
Amazon Bombshell Hits
On late Friday, July 28 2017, the bombshell hit. Amazon reported earnings of 70% below analyst’s expectations for profit! You read that right – 70% !!
This really shocked the market.
Amazon’s profits only come from their cloud business. What’s happening is Amazon’s cloud business is slowing down because Microsoft and Google are starting to take that away from them.
Amazon is somewhat of an enigma because they’ve somehow convinced Wall Street to give them a hall pass. They are the only company allowed not to produce a profit by giving an excuse that they’re investing in the company to keep growing.
Interesting Facts About Amazon
Here are some interesting facts: Amazon’s market capitalization is larger than all retailers combined in the entire USA!
Amazon alone is 3% of the Gross Domestic Product of the entire USA!
To give you an idea of the significance of this, the top 5 companies in the Nasdaq are nearly 12% of the GDP of the entire USA!
But they don’t produce any profit! Like I mentioned, the only profit they produce is from their cloud business and that’s in jeopardy thanks to Microsoft and Google.
This does not bode well for the stock market…
The Truth About The Stock Market
What people don’t realize about the stock market is that it’s called a market capitalization weighted stock market.
What this means is the higher the Big 5 or the Big 10 go, it lifts the entire stock market up at a geometric rate, not an arithmetic rate.
So, when these stocks start to fall, they will fall at a geometric rate and not at an arithmetic rate.
So back to Amazon’s standing in the market is that it is very, very important number one is it’s very recognized and number two, it’s weighting in the Nasdaq and the S&P 500 and it’s going to have a great effect on the market as it falls.
The stock market is up over 600% from the 2009 bottom but the Gross Domestic Product of the USA is up only 12% of that.
The biggest companies in the stock market are in trouble and people that were counting on huge capital gains in the stock market are at real risk of seeing those gains evaporate within the next 6 months.
Are you starting to get the picture here?
There comes a point in time where you need to really think about your financial future. You simply cannot leave it in the hands of others or to chance.
Now Is The Time To Start Your Own Online Business
There has never been a better time to start your own online business than now.
While starting a business can be a daunting proposition for many would-be entrepreneurs, it’s easy to find thousands of excuses not to.
Some concerns may be…
How do you juggle the demands of a business with the demands of your personal life?
How can you afford the startup costs?
While these are valid concerns, they’ve never been valid excuses.
Here are 3 reasons why it’s never been a better time than now:
1. Low startup costs
Online business startup costs are low because you don’t need investors like the traditional brick and mortar businesses.
Affiliate marketing is one of the best online businesses you can start with very little startup costs.
2. Cloud technology
The advancement of mobile technology has changed the way we work, and cloud platforms have made it possible to maintain these systems without physical servers. This means that entrepreneurs can access their information from anywhere in the country (or indeed the world) and on any device.
Real-time access to information such as your business’ financial data can give you deeper insight into your business health and enable you to make more informed strategic decisions.
3. Business process automation
Starting a business puts a lot of responsibility on an entrepreneur: you have to wear many hats and keep a lot of plates spinning in the air.
Fortunately, cloud technology once again comes to the rescue. Using certain software tools, it’s possible to fully automate all or part of your business function like payroll and accounting functions.
Being an entrepreneur is always about two things: having the idea and wanting it enough.
And where work-life balance, buy-in costs, and time-consuming processes were once enough to put off your dream of an online business, technology has either smoothed over these problems – or eliminated them entirely.
My Top Tier Business (MTTB) is an online business that combines the low start up cost of affiliate marketing and gives you the ability to earn a commission on every sale for life which is nothing short of amazing.
This program offers a 21 step system for making your first $1,250, $3,300, or $5,500 commission online, even if you have no experience in online marketing,
MTTB is designed for a new or experienced internet marketer who wants to build a real long-term, sustainable online business by following a proven step-by-step business model instead of going it alone.
I’m not going to tell you this is easy, This is not a get rich quick scheme. It does take work. But if you have a strong dream of living a lifestyle that others wish they have, this is the business that will take you there.
Let me know what you think…
You are only one online business away…