All posts by PARKERYL

Netflix (NFLX) shares jumped in extended trading Thursday after the streaming giant posted first-quarter earnings that topped Wall Street expectations, boosted by higher subscription prices and ad revenues.

Through Thursday’s close, Netflix shares have gained 9% since the start of the year and trade nearly 60% higher over the past 12 months as the company continues to grow its advertising sales and live events content.

Analysts have also touted Netflix’s ability to withstand an economic downturn amid uncertainty related to tariffs, with JPMorgan describing it as the “most resilient” company it tracks. Netflix has also attracted attention for its attempt to double its revenue and achieve a market capitalization of $1 trillion by 2030, which the Wall Street Journal reported earlier this week.

Below, we take a closer look at Netflix’s weekly chart and apply technical analysis to point out key price levels worth watching.

Momentum Leading into Earnings

After setting their record high in February, Netflix shares retraced as much as 23% before bulls stepped in to support the stock last week near the 50-week moving average.

It’s worth noting that the rebound coincided with the relative strength index (RSI) moving higher from the 50 threshold, a reading that has marked the bottom of several prior pullbacks in the stock since early 2023.

More recently, the shares continued to gain momentum leading into the streamer’s quarterly results, with the price set to open around the psychological $1,000 level on Monday morning. (U.S. markets are closed Friday in commemoration of Good Friday.)

Let’s identify two key overhead areas on Netflix’s chart that investors may be watching and also point out important support levels to monitor during retracements.

Key Overhead Areas Worth Watching

Netflix shares rose 3.5% to around $1,007 in after-hours trading Thursday.

The first overhead area to keep tabs on sits at $1,065. Investors who bought shares during the pullback could decide to place sell orders near the stock’s all-time high (ATH).

We can project an upside target to watch above the ATH by using bars pattern analysis, a technique that analyzes prior trends to forecast future directional movements.

When applying the tool to Netflix’s chart, we take the price bars comprising the stock’s trend higher from August to December last year and overlay them from this month’s low. The analysis forecasts a target of around $1,300, about 34% above Thursday’s closing price.

The earlier trend played out over 17 weeks before the stock consolidated, indicating a similar trending move may last until early August if price action rhymes.

Important Support Levels to Monitor

During retracements, investors should keep track of the $821 level. A retest of this area could see investors seek entry points near last week’s low, which also closely aligns with the end of a five-week losing streak in early January.

Finally, selling below this level sets the stage for a possible fall to around $697. Netflix shares could encounter support in this region near last year’s prominent July swing high and a period of sideways drift on the chart between mid-August and late September.

The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more info.

As of the date this article was written, the author does not own any of the above securities.

UnitedHealth Group (UNH) stock had one of its worst days ever on Thursday after the healthcare giant unexpectedly cut its profit forecast for the year. 

UnitedHealth stock fell more than 22% on Thursday, its biggest daily decline since 1998. Thursday marked the company’s fourth-worst day on Wall Street since going public in 1984. 

UnitedHealth’s precipitous drop rippled through the stock market. Fellow health insurers Humana (HUM) and Elevance Health (ELV) dropped 7.4% and 2.4%, respectively. And UnitedHealth, the priciest stock in the price-weighted Dow Jones Industrial Average, detracted an estimated 789 points from the blue-chip index, which fell 1.3%; if UnitedHealth stock hadn’t moved at all today, the Dow would have risen 262 points, or 0.7%.

UnitedHealth’s slump erased about $120 billion off its market capitalization, which puts it among the costliest stock routs of all time. It’s the kind of wealth-decimating drop that’s rarely seen outside of the tech sector, where corporate valuations are underpinned by growth expectations that can balloon and, in moments of crisis, pop. Meta (META), for example, became the first company to lose more than $100 billion in a single day in 2018 after the company—then called Facebook—reported disappointing quarterly revenue.

In defensive sectors like health care and consumer staples, companies usually lose that kind of market value over long periods of slow decline. Pharmacy giant Walgreens Boots Alliance (WBA) and cosmetics giant Estée Lauder (EL), for example, have each lost about $100 billion in value over the last 10 and 3 years, respectively, as they’ve struggled with slumping sales. 

To be sure, UnitedHealth, with a $535 billion market cap, was the 14th largest company in the S&P 500 heading into Thursday’s session, giving it lots of market value to lose. Outside of the tech sector, only Berkshire Hathaway (BRK.B), Eli Lilly (LLY), Walmart (WMT), JPMorgan Chase (JPM), and Visa (V) were worth more before Thursday. Still, companies of UnitedHealth’s size often operate stable businesses that require a massive shock, like Covid-19, to suffer the kind of sell-off seen Thursday.

You’ve got an extra room and could use the extra cash. Should you take on a roommate in retirement? With the median rental price of a two-bedroom unit in the U.S. costing $1,887 in February 2025, it might be tempting to consider.

If you do choose to open your home to a roommate, you won’t be alone in making that choice. People over 65 are the fastest-growing age group taking in roommates in their homes, according to SpareRoom, an online platform for people to find roommates.

Here are a few points to consider before taking the step of living with someone.

Advantages of Having a Roommate

Having a roommate (or multiple roommates) can be an easy way to reduce your cost of living—for many people, housing is one of their largest monthly expenses.

“Even a few hundred dollars a month can have a big impact and that might allow you to retire a bit earlier or spend more on things you enjoy,” advises Justin Pritchard, a certified financial planner at Approach Financial.

But you will need to pay taxes on that money.

“The biggest thing to remember is that you have to report the rent as income. You can take deductions to reduce some or all of the income from being taxed, but no matter what, it adds a layer of complication to your tax return,” says Tara Unverzagt, president and senior financial planner at South Bay Financial Partners. “If you file yourself, you may need a professional to do it correctly.”

In addition to the money, having a roommate may be a good way to increase social interaction because many seniors report struggling with loneliness.

A 2023 University of Michigan survey found that more than one-third of adults ages 50 to 80 reported feeling isolated over the past year. Additionally, one-third said they had infrequent contact, which was defined as once a week or less, with people from outside their home in 2023.

Having a roommate could help some seniors stave of feelings of isolation and loneliness due to living alone.

Disadvantages of Having a Roommate

You won’t have as much privacy when you invite a roommate to live with you.

“Is privacy very important to you? If so, you probably want to avoid going the roommate route,” advises Eric Maldonado, a certified financial planner and owner of Aquila Wealth Advisors.

There may be disagreements with a roommate, something you don’t have to worry about if you live alone.

“In any shared living space, there may be conflicts regarding cleanliness and the way the space is utilized. And one of the biggest downsides is that if it doesn’t work out and you want to get the tenant out of the home, it may be very uncomfortable during the process, which could drag on for quite some time,” says Sebastian Frey, a broker associate at Compass Real Estate.

Finding a Roommate

Start by reaching out to people that you know and let them know you are looking for a roommate.

“If you have family or friends local you could try letting them know you are looking for a roommate. If you are a member at a church or social club you could let people know you are looking for a roommate and may even ask to post an announcement,” Maldonado says.

You may wish to place an online ad detailing the room you have for rent.  

“You can post your room on Craigslist or other local accommodations search websites. If you are looking for someone of a certain age or stage of life, there are probably civic clubs or forums you can post in online that cater to those age groups,” Maldonado advises.

Vetting a Roommate

You’ll want to check out the background of a potential roommate to make sure they are a good match for you.

“You would want to have a very good vetting process. Patience and taking your time [are] key here. Do a background check, follow up with references, and have a couple conversations first,” Maldonado says.

Discuss with a potential roommate your schedule and what you expect from someone living in your home.

“Make sure you clearly outline your living arrangements, your schedule, and your expectations before committing to renting out a room. Take the time to choose a roommate who you think you’ll get along well with,” Hutchinson says.

Preparing for a Roommate

You’ll need to get the room you are renting out ready for a roommate and write up a rental agreement.

“There’s some administrative setup you’ll need to do, including creating a written agreement, preparing your room, and making sure you’ve read up on the state and local laws and tax rules. But the financial reward is well worth your time,” Hutchinson says.

Not sure how much to charge? SpareRoom provides a list of average rents in metro areas around the United States.

“Take a look at other room listings in your area or average rents to see how much you could charge for your room,” Hutchinson advises.

The Bottom Line

If you like company and have a spare room in your home, you may be able to supplement your retirement income by renting a room. Do a background check on all potential renters and ask for references.

Search for renters online, inquire with friends and family, and ask around at social clubs. You’re looking for someone who will be a good fit for your home. Don’t rush the process. Make sure to clean and prep the room and prepare a rental agreement. Once you find the right person, the room is theirs and the monthly rent check is yours.

Best Overall

Investopedia chose Bear Bull Traders as the best overall day trading course due to its extensive offering of educational materials, including basic to advanced courses on day trading strategies and trading psychology. In addition, it has rich peer and mentor support, along with access to a sophisticated simulator and the DAS Trader Pro trading platform. 

Best For Learning While Trading

Bear Bull Traders is also best for students seeking to learn while trading. Even at the most basic membership level, the company offers day trading courses and access to its live chatroom. Higher membership levels will enjoy weekly mentorships, webinars, and personalized trading psychology coaching.  

Bear Bull Traders was founded by Andrew Aziz in 2015 and is based in the United Arab Emirates (UAE). Because of its vast educational content, and useful tools such as a trading simulator, the DAS Trader Pro, trade ideas, mentorship, and webinars, Bear Bull Traders is our choice as the best overall day trading course, and is also our choice for traders seeking to learn while they trade. 

However, with all that Bear Bull Trader offers, students may find the service a bit pricey. For instance, the Basic membership, designed for beginning traders, costs $99 monthly and only includes an onboarding session, access to day trading courses, and a chatroom. The Elite Monthly package, designed for experienced traders, costs $199 monthly and includes everything the basic package has, plus access to advanced courses, weekly mentorships, and webinars. 

The other option is the Elite Annual, which is designed for professional traders and is also claimed to be Bear Bull Traders’ most popular membership package. It costs $2,388 annually, and users can expect everything the Elite Monthly package possesses, plus personalized psychology coaching. Lastly, Bear Bull Traders has a special promotion for its highest-tier Platinum package, and, for a limited time, it costs $2,999, marked down from $6,900. In this package, customers will get 1 year of Platinum access, which includes three months of DAS simulator, three months of trading boot camp, and more. 

As stated before, Bear Bull Traders is expensive. Unfortunately, it does not offer a payment plan, but it does accept credit cards to help pay for its membership. Additionally, its customer service is a little light. While it offers a monitored customer chat service on its website, customers in need of additional help must submit a ticket. On the bright side, customers can try the service and get a 7-day trial for only $1. If you really like the service, there’s also an option to become a lifetime member, but it will set you back $4,000.

Below you’ll find featured rates available from our partners, followed by details from our ranking of the best CDs available nationwide.

Rates of 4.50% to 4.60% You Can Guarantee as Long as 2026

The nation’s leading CD rate dropped from 4.65% to 4.60% yesterday, with four co-leaders. But today two of those top rates evaporated. Fortunately, you can still lock in a 4.60% return with either T Bank, for a 6-month term, or Abound Credit Union, for a 10-month duration, stretching your rate guarantee into early 2026.

A total of 18 CDs pay at least 4.50%, with the longest term among these being 18 months. That CD is available from XCEL Federal Credit Union and it will lock in a 4.50% rate until October of next year.

All Federally Insured Institutions Are Equally Protected

Your deposits at any FDIC bank or NCUA credit union are federally insured, meaning you’re protected by the U.S. government in the unlikely case that the institution fails. Not only that, but the coverage is identical—deposits are insured up to $250,000 per person and per institution—no matter the size of the bank or credit union.

Consider Longer-Term CDs To Guarantee Your Rate Further Into the Future

For a rate lock you can enjoy into 2027, Lafayette Federal Credit Union is paying 4.28% APY for a full 24 months. Meanwhile, Genisys Credit Union leads the 3-year term, offering 4.32% for 30 months.

CD shoppers who want an even longer guarantee might like the leading 4-year or 5-year certificates. Though the 4-year rate dropped today from 4.40%, you can still lock in a 4.28% rate for 4 years from Lafayette Federal Credit Union. In fact, Lafayette promises the same 4.28% APY on all its certificates from 7 months through 5 years—letting you secure that rate as far as 2030.

Multiyear CDs are likely smart right now, given the possibility of Fed rate cuts in 2025 and perhaps 2026. The central bank has so far lowered the federal funds rate by a full percentage point, and this year could see additional cuts. While any interest-rate reductions from the Fed will push bank APYs lower, a CD rate you secure now will be yours to enjoy until it matures.

Today’s Best CDs Still Pay Historically High Returns

It’s true that CD rates are no longer at their peak. But despite the pullback, the best CDs still offer a stellar return. October 2023 saw the best CD rates push above 6%, while the leading rate is currently down to 4.60%. Compare that to early 2022, before the Federal Reserve embarked on its fast-and-furious rate-hike campaign. The most you could earn from the very best CDs in the country then ranged from just 0.50% to 1.70% APY, depending on the term.

Jumbo CDs Top Regular CDs in 4 Terms

Jumbo CDs require much larger deposits and sometimes pay premium rates—but not always. In fact, the best jumbo CD rates right now are equal to or lower than the best standard CD rates in half the terms we track.

Among 18-month CDs, both the top standard and top jumbo CDs pay the same rate of 4.50% APY. Meanwhile, institutions are offering higher jumbo rates in the following terms:

• 2 years: Lafayette Federal Credit Union offers 4.33% for a 2-year jumbo CD vs. 4.28% for the highest standard rate.
• 3 years: Hughes Federal Credit Union offers 4.34% for a 3-year jumbo CD vs. 4.32% for the highest standard rate.
• 4 years: Lafayette Federal Credit Union offers 4.33% for a 4-year jumbo CD vs. 4.28% for the highest standard rate.
• 5 years: Both GTE Financial and Lafayette Federal Credit Union offer 4.33% for jumbo 5-year CDs vs. 4.28% for the highest standard rate.

That makes it smart to always check both types of offerings when CD shopping. If your best rate option is a standard CD, simply open it with a jumbo-sized deposit.

Where Are CD Rates Headed in 2025?

In December, the Federal Reserve announced a third rate cut to the federal funds rate in as many meetings, reducing it a full percentage point since September. But in January and March, the central bankers declined to make further cuts to the benchmark rate.

The Fed’s three 2024 rate cuts represented a pivot from the central bank’s historic 2022–2023 rate-hike campaign, in which the committee aggressively raised interest rates to combat decades-high inflation. At its 2023 peak, the federal funds rate climbed to its highest level since 2001—and remained there for nearly 14 months.

Fed rate moves are significant to savers, as reductions to the fed funds rate push down the rates banks and credit unions are willing to pay consumers for their deposits. Both CD rates and savings account rates reflect changes to the fed funds rate.

Time will tell what exactly will happen to the federal funds rate in 2025 and 2026—and tariff activity from the Trump administration has the potential to alter the Fed’s course. But with more Fed rate cuts possibly arriving this year, today’s CD rates could be the best you’ll see for some time—making now a smart time to lock in the best rate that suits your personal timeline.

Daily Rankings of the Best CDs and Savings Accounts

We update these rankings every business day to give you the best deposit rates available:

Important

Note that the “top rates” quoted here are the highest nationally available rates Investopedia has identified in its daily rate research on hundreds of banks and credit unions. This is much different than the national average, which includes all banks offering a CD with that term, including many large banks that pay a pittance in interest. Thus, the national averages are always quite low, while the top rates you can unearth by shopping around are often five, 10, or even 15 times higher.

How We Find the Best CD Rates

Every business day, Investopedia tracks the rate data of more than 200 banks and credit unions that offer CDs to customers nationwide and determines daily rankings of the top-paying certificates in every major term. To qualify for our lists, the institution must be federally insured (FDIC for banks, NCUA for credit unions), the CD’s minimum initial deposit must not exceed $25,000, and any specified maximum deposit cannot be under $5,000.

Banks must be available in at least 40 states. And while some credit unions require you to donate to a specific charity or association to become a member if you don’t meet other eligibility criteria (e.g., you don’t live in a certain area or work in a certain kind of job), we exclude credit unions whose donation requirement is $40 or more. For more about how we choose the best rates, read our full methodology.

The full article continues below these offers from our partners.

Earn 5% by Jumping Through Some Hoops—or 4.60% With No Strings Attached

Whether you’re socking away to an emergency fund or shifting some of your savings from investments to cash, especially given the market’s current tariff turmoil, you need to earn a competitive rate on the money in your bank accounts. Specifically, if you earn less than the inflation rate, your savings will become less valuable over time.

Fortunately, the rate you can earn with a high-yield savings account is currently very high, pushed up to 20-year record levels in 2024 by the Fed’s aggressive rate-hike campaign of 2022–2023. Today’s leading savings account rate is slightly down from those days, but it’s still possible to earn in the mid-4% to 5% range on your cash.

Where you fall in that range, however, depends on how willing you are to meet some special requirements. Right now, the three highest rates in our daily ranking of the best high-yield savings accounts require you to check off one or more special boxes. If you’re able and willing to do that, you can earn 5.00% APY on your balance.

If you don’t meet the requirements or don’t want to be bothered, you can still earn an excellent 4.60% APY from Pibank. With no monthly fees or minimum requirements for opening deposits or ongoing balances, Pibank offers the highest no-strings savings rate in the country.

For those interested in boosting to a 5% rate, here are your three options.

Option #1 – For Those Who Can Set Up Direct Deposit

Yes, this article is about your savings. But sometimes a checking account is so flexible that you can essentially use it like a savings account. That’s the case with mph.bank’s “Free Account” which pays a 5.00% annual percentage yield (APY) on balances up to a remarkable $50,000. The only requirement is that direct deposits totaling at least $2,000 hit your account every statement cycle (multiple deposits can be summed to reach the $2,000 threshold, as long as they occur within the same month).

This account charges no monthly fees, offers Zelle and mobile check deposit, and does not require a minimum opening deposit or ongoing balance requirements, making it a truly free account. While mph.bank is an online-only bank, it is owned and operated by the brick-and-mortar Liberty Savings Bank.

Option #2 – For Those Who Are Physically Active Every Day

One of the more unique bank accounts in terms of requirements to earn bonus status is Fitness Bank. As its name implies, it focuses its perks on those who can meet healthy “step goals” every day. Right now, it’s paying a 5.00% APY on its Ultra Savings Account. Though it does not cap the balance on which you can earn 5.00%, it does have two specific requirements for earning that top rate:

• You must have an accompanying Elite Checking Account at Fitness Bank and must keep your average daily balance in that account at or above $5,000.
• You must have an average daily step count for the month of at least 10,000 steps (or 7, 500 steps if you’re age 65 or older).

You do not need to own a wearable device to qualify for this account, but you must be able to install Fitness Bank’s step tracker app on a smart phone. Fitness Bank is an online operation of Affinity Bank, a physical bank based in Covington, Georgia.

Option #3 – For Those Looking to Keep a Small Balance

If you don’t want to hold a large balance in savings, Varo Bank is another option. It, too, offers 5.00%, but only on balances up to $5,000. In addition, it requires you to have at least $1,000 in monthly direct deposits to earn that top rate.

If you simply need a place to receive your paycheck and don’t have a lot of extra savings, Varo’s 5.00% account could work for you. But if you can save more than $5,000, you’re likely better off with one of the 5.00% options above, or a slightly lower rate from a no-strings account in our ranking of the best nationwide savings accounts.

How We Find the Best Savings and CD Rates

Every business day, Investopedia tracks the rate data of more than 200 banks and credit unions that offer CDs and savings accounts to customers nationwide and determines daily rankings of the top-paying accounts. To qualify for our lists, the institution must be federally insured (FDIC for banks, NCUA for credit unions), and the account’s minimum initial deposit must not exceed $25,000. It also cannot specify a maximum deposit amount that’s below $5,000.

Banks must be available in at least 40 states to qualify as nationally available. And while some credit unions require you to donate to a specific charity or association to become a member if you don’t meet other eligibility criteria (e.g., you don’t live in a certain area or work in a certain kind of job), we exclude credit unions whose donation requirement is $40 or more. For more about how we choose the best rates, read our full methodology.

Editor’s Note: As a reminder, the stock market will be closed tomorrow, April 18, in observance of the Good Friday holiday. The InvestorPlace offices and customer service departments will also be closed on Friday. I hope you enjoy the long holiday weekend!

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My home in Florida sits just a stone’s throw away from Mar-a-Lago – also known as the Winter White House.

Though I’m not a member, I’ve been fortunate enough to visit many times. Each time, President Trump has been a gracious host to my family, and we’ve created some wonderful memories.

And let me tell you, Mar-a-Lago can be quite the scene. One time, I watched South Carolina Senator Lindsey Graham deeply involved in a conversation on the phone just a few feet away from me. Moments later, he was whisked away for dinner with the President himself.

That’s the kind of place Mar-a-Lago is. Big decisions happen. Deals get done.

So, it didn’t surprise me one bit when NVIDIA Corporation (NVDA) CEO Jensen Huang attended a high-powered fundraising dinner there on Friday, April 11. Nor did it surprise me when, suddenly, big news about NVIDIA started to break in the days after.

In today’s Market 360, I’m going to cover the latest tariff news that’s impacting NVIDIA and why it caused a sharp drop in the stock. However, I believe this is an extreme overreaction, and I’ll explain why. Plus, I’ll discuss an even bigger piece of news that’s getting completely ignored. As you’ll find out, it’s part of a much bigger story involving the White House’s plans for reshaping the U.S. economy and taking the lead in the AI Revolution. And I’ve found the perfect way to profit…

President Trump Bans NVIDIA Chips in China

Yesterday, the Trump administration announced surprise export restrictions targeting NVIDIA’s semiconductor business. Specifically, these new rules ban NVIDIA’s sales of its H20 AI chips to China. NVIDIA disclosed in a regulatory filing that complying with these rules would cost the company an immediate $5.5 billion charge. Analysts have projected that the potential lost revenue could reach $10 billion over the coming quarters, mostly due to existing inventories of these specialized chips now becoming unsellable.

Investors didn’t take kindly to the news. NVIDIA shares dropped nearly 10% on Wednesday, and are now down roughly 25% so far this year.

However, this is a gross overreaction, folks. I want to point out that NVIDIA generated nearly $135 billion in revenue last year alone – $61 billion of that in just the past quarter. The China business? It’s a drop in the bucket.

Now, some analysts are wondering if banning these specific chips might inadvertently benefit Chinese competitors, like Huawei, rather than strategically hindering China’s AI ambitions. It’s a valid question, but that’s not the bigger story here.

NVIDIA Is Playing Trump’s Game

The bigger news broke just one day earlier: NVIDIA announced a massive $500 billion initiative to bolster U.S. AI infrastructure and manufacturing capabilities. This includes plans to build two enormous supercomputer factories in Texas – the company’s first-ever supercomputer plants located entirely in the U.S. These new facilities will occupy over 1 million square feet of manufacturing space and are expected to start mass production within the next 12 to 15 months.

Additionally, NVIDIA will produce and test its cutting-edge Blackwell AI chips domestically at Taiwan Semiconductor Manufacturing Company’s (TSM) new plants in Arizona. Jensen Huang highlighted that moving production to the U.S. would help strengthen NVIDIA’s supply chain, boost resiliency and better position the company to meet the exploding global demand for AI-powered computing.

I don’t think it’s any coincidence that this announcement was made after Huang had dinner with the President. It’s the kind of move that fits perfectly with President Trump’s broader economic agenda.

The Bottom Line

I know the tariffs have caused a lot of pain in the market. I expect to see some more good news on tariffs soon. Just yesterday, Treasury Secretary Scott Bessent said he was optimistic about achieving clarity on tariffs and trade deals within the next 90 days. He said that outside of China, the White House was in “rapid motion” in setting up negotiations with 14 other major U.S. trading partners.

Remember, I have gone on record saying that the ultimate goal of Trump’s trade policies is to use tariffs and economic incentives to 1) bring other countries to the negotiating table for a better deal and 2) bring manufacturing jobs and advanced technology back to American shores.

If Trump and his team can pull this off, then the U.S. will be primed for significant long-term growth. Not only that, but it will be in the sole position to win the AI race against China.

Huang’s recent Mar-a-Lago meeting tells me that NVIDIA is on board. They’re ready to play ball.

So, don’t be rattled by short-term setbacks. Sure, losing sales in China hurts today, but NVIDIA’s vision is much bigger and longer term. Yours should be, too.

NVIDIA is positioning itself at the center of America’s AI-driven future. And the stock’s recent near-term weakness may be exactly the type of opportunity savvy investors dream about – a chance to buy into a monopolistic company at a temporary discount.

It’s why I think the stock is a screaming buy right now.

How to Profit From the Trump/AI Convergence

Now, it’s clear that President Trump and his team are rewriting the rulebook. And I want you to be prepared for when the full vision of Trump’s economic policies begins to take shape.

For example, one of the clearest beneficiaries of President Trump’s aggressive policies will be the explosive AI Super Boom.

When Trump’s policies converge with the AI Revolution, I predict that it will be one of the most powerful opportunities of our lifetime.

But, as we’ve witnessed from the past month, in order to profit, we’ll need to move fast. So, that’s why I’m inviting readers to “test drive” a powerful strategy I’ve used to quickly extract gains like…

• 90.25% from Celestica, Inc. (CLS)
• 95.13% from Builders FirstSource, Inc. (BLDR)
• 114.49% from Targa Resources Corp. (TRGP)
• 187.28% from YPF Sociedad Anonomia (YPF)
• 604% from Vista Oil & Gas (VIST)

This strategy is designed to repeatedly generate thousands of dollars in short-term cash payouts – all from regular stocks, no complicated trades required. And in the fast-changing market we are experiencing right now, it could prove crucial to your portfolio right now.

In fact, my system has flagged a handful of stocks with superior fundamentals and persistent institutional buying pressure that are primed to thrive in this new Trump/AI Convergence.

Click here to learn more now.

Sincerely,

Louis Navellier

Editor, Market 360

P.S. Last night, TradeSmith CEO Keith Kaplan unveiled a breakthrough AI market algorithm that can forecast stock prices 21 days into the future. And in today’s uncertain market, this is a great tool for you to have in your back pocket. In fact, this level of predictive power is crucial for navigating any choppy market. Click here to watch a replay of yesterday’s special presentation now.

The Editor hereby discloses that as of the date of this email, the Editor, directly or indirectly, owns the following securities that are the subject of the commentary, analysis, opinions, advice, or recommendations in, or which are otherwise mentioned in, the essay set forth below:

Celestica, Inc. (CLS), NVIDIA Corporation (NVDA) and Targa Resources Corp. (TRGP)

Netflix (NFLX) reported first-quarter earnings that topped analysts’ expectations, sending shares higher in extended trading Thursday.

The streaming giant’s revenue grew over 12% year-over-year to $10.54 billion, above the analyst consensus from Visible Alpha. Net income of $2.89 billion, or $6.61 per share, rose from $2.33 billion, or $5.28 per share, a year earlier, beating Wall Street’s projections. The period marked the first quarter Netflix did not report subscriber numbers.

Netflix shares rose about 3% in after-hours trading. They were up 9% for 2025 so far through Thursday’s close.

Netflix’s Gains Come as Subscription Prices Rise

The better-than-expected results came in part due to higher subscription and ad revenues, the company said, along with the timing of expenses.

Netflix had raised prices for its plans in January, hiking its ad-supported plan to $7.99 from $6.99 per month, the standard ad-free plan to $17.99 from $15.49 a month, and its premium plan to $24.99 from $22.99 a month.

Netflix maintained its fiscal 2025 revenue projection of $43.5 billion to $44.5 billion. Analysts on average had expected $44.27 billion. The company’s second-quarter revenue forecast of $11.04 billion exceeded Wall Street’s estimate of $10.91 billion.

Co-CEO Greg Peters said Netflix expects to double its advertising revenue this year, as the company rolls out its ad tech suite. The suite is live in the U.S. and Canada, with 10 other markets expected in the months to come.

Earlier this week, Netflix executives reportedly said their goal is to double the company’s $39 billion in revenue last year by 2030 and reach a market capitalization of $1 trillion. The streamer’s market cap currently stands at about $416 billion.

Executives Tout Netflix’s Resilience Amid Economic Uncertainty

“We also take some comfort in the fact that entertainment historically has been pretty resilient in tougher economic times,” Peters said during the company’s earnings call Thursday.

“Netflix, specifically, also has been generally quite resilient and we haven’t seen any major impacts during those tougher times, albeit of course over a much shorter history,” he added.

The comments come after Morgan Stanley called the company a “top pick” last week to withstand the current tariff landscape.

UPDATE—April 17, 2025: This article has been updated since it was first published to include additional information and reflect more recent share price values.

Trump lashes out at Powell … who’s behind bond market chaos … the eye-opening statistics on government debt … what is the real fear?

Editor’s Note: Our InvestorPlace offices are closed tomorrow for Good Friday.

If you need assistance from our Customer Service team, they’ll be happy to assist you when we re-open Monday.

Have a wonderful Easter Weekend!

Jerome Powell, dead man walking?

Earlier today, President Trump took to Truth Social, posting:

The ECB is expected to cut interest rates for the 7th time, and yet, ‘Too Late’ Jerome Powell of the Fed, who is always TOO LATE AND WRONG, yesterday issued a report which was another, and typical, complete ‘mess!’

Oil prices are down, groceries (even eggs!) are down, and the USA is getting RICH ON TARIFFS.

Too Late should have lowered Interest Rates, like the ECB, long ago, but he should certainly lower them now.

Powell’s termination cannot come fast enough!

As we’ve detailed here in the Digest, Trump really wants lower interest rates.

Perhaps it’s due to the trillions of dollars’ worth of government debt that are rolling over in the next 18 months… maybe he wants to provide a tailwind to the economy… perhaps he wants to give the wobbly stock market a boost…

The problem is that even if Powell gives Trump the lower rates he wants, that doesn’t mean Trump’s desired outcomes will come to pass.

You see, the Federal Reserve only controls the federal funds rate – a short-term lending rate. The “Big Dog” that impacts mortgage rates, the economy, the stock market, and so on, is the 10-year Treasury yield. But for that, the market is the master puppeteer.

And according to legendary investor Louis Navellier, there’s one group within the market that’s in control today…

Meet the Bond Vigilantes

To make sure we’re all on the same page, Louis’ favorite economist Ed Yardeni popularized the term “Bond Vigilantes” in the 1980s.

It refers to bond investors who sell off Treasurys in response to what they perceive as irresponsible fiscal or monetary policies, like excessive government spending or inflationary policies. By dumping bonds, they drive up yields, effectively punishing governments with higher borrowing costs.

These investors act like “vigilantes” in the market, enforcing financial discipline when policymakers stray.

Now, April has brought an historic move in the 10-year Treasury yield from these Bond Vigilantes.

Last week, they stampeded out of the 10-year Treasury, causing its yield to soar from less than 4.00% to about 4.50% – the largest weekly gain in over a decade. You can see the bounce in the chart below.

Here’s Louis from yesterday’s Special Market Podcast in Growth Investor:

Last week’s events were stunning.

The main takeaway is the Bond Vigilantes are in charge – these big institutional Treasury investors.

The U.S. dollar is now down almost 10% for the year, and Treasury yields rose because apparently the Bond Vigilantes decided to sell some of our Treasuries…

That means President Trump isn’t in charge; the Bond Vigilantes are…

When the Bond Vigilantes started to avoid our Treasuries, President Trump had no choice but to respond and put a 90-day suspension on reciprocal tariffs.

So, what are the Bond Vigilantes worried about?

The better question is “what aren’t they worried about?”

There’s the U.S. budget deficit that grew to $1.83 trillion last year. That’s equivalent to 6.4% of U.S. economic output, marking the highest reading other than the COVID-19 pandemic.

So far in fiscal year 2025 (covering the first half of the fiscal year), the deficit has climbed to more than $1.3 trillion. This is the second-highest six-month deficit on record (second only to Covid).

Then there’s the overall national debt, which is ballooning – and accelerating. It’s now nearly $37 trillion, growing at more than $1 trillion about every 100 days.

The current debt-to-GDP ratio clocks in at 123%. Long term, this is unsustainable. It will result in either an economic or currency collapse.

Next up is the size of our government’s interest payments that are based on the size of our debt and today’s elevated interest rates.

Here’s the non-partisan thinktank Peter G. Peterson Foundation:

The Congressional Budget Office (CBO) projects that interest payments will total $952 billion in fiscal year 2025 and rise rapidly throughout the next decade…

Relative to the size of the economy, interest costs in 2026 would exceed the post-World War II high of 3.2 percent…

The federal government already spends more on interest than on budget areas such as:

• Defense
• Medicaid
• Federal spending on children
• Income security programs, which include programs targeted to lower-income Americans such as the Supplemental Nutrition Assistance Program; earned income, child, and other tax credits
• Veterans’ benefits

In fact, interest payments will exceed the amount that the federal government spends on Medicare (net of offsetting receipts) this year, leaving Social Security the only program larger than net interest.

Then we have President Trump’s tax plan.

To set the stage for why Bond Vigilantes have a problem with this, remember that governments only have two main means of funding their spending: taxes and debt (via issuing Treasurys).

If President Trump’s tax plans make it through Congress, tax revenues will fall.

The Committee for a Responsible Federal Budget estimates that the tax cuts would add $7.75 trillion to the U.S. national debt over the next decade.

This would mean the government would have to rely more on debt issuance to meet all its spending obligations.

And this leaves debt (Treasurys) in the spotlight…which brings us full circle to the bond vigilantes who are punishing perceived economic bad behavior by driving Treasury yields higher.

The case for foreign bond vigilantes adding to the selling pressure

To be clear, monthly Treasury data comes with a lag. So, we don’t know exactly who sold bonds last week. But there are suspicions – and culprits aren’t limited to U.S. sellers.

The two biggest foreign holders of U.S. debt are China and Japan.

China clearly has a motivation for dumping our debt, and some analysts believe they’re holding the smoking gun.

Here’s CNBC:

“I think China is actually weaponizing the Treasury holding already,” said Chen Zhao, chief global strategist at Alpine Macro.

“They sell U.S. Treasurys and convert the proceeds into Euros or German bunds. That’s actually very consistent with what happened over the last couple of weeks,” he added. 

Germany’s bunds had bucked a wider sell-off in long-dated Treasurys last week, with its 10-year yields sliding.

Now, there’s pushback against this theory.

After all, if China sells U.S. bonds, it means capital flows back to China in the yuan, therein strengthening the yuan. This isn’t what China wants – Beijing is trying to offset the impact of Trump’s tariffs.

As for Japan, last week, Japanese Finance Minister Katsunobu Kato said Japan won’t use its accumulation of Treasurys as a bargaining chip against Trump:

We manage our U.S. Treasury holdings from the standpoint of preparing for in case we need to conduct exchange-rate intervention in the future.

But apparently, Japanese insurer Nippon Life owns a tremendous amount of Treasurys, and they could be behind the recent selling.

Here’s CNBC:

“It’s all very well for the Japanese government to say, we’re not going to sell U.S. Treasurys, but it’s not the Japanese government that owns them. It’s Nippon Life,” [BCA Research’s Garry Evans] added. 

If these insurers are worried about U.S. policy flip-flopping and want to reduce exposure, there’s “not a lot the government can do.”

Clearly, “bond vigilantes” don’t exist only in the U.S.

Now, regardless of who is behind the selloff, the bottom line remains: big players have been bailing on the 10-year.

What’s the worst case that these Bond Vigilantes fear?

Imagine your brother-in-law comes to you, lamenting that things are a little tight; he needs to borrow some cash.

You give him a loan, only to watch him go spend extravagantly, far beyond his income. It’s not long before he’s back at your door, requesting more money. You agree…he spends recklessly once again.

Now, say this pattern repeats another half a dozen times.

Eventually, what are you going to do?

Either 1) ask for a higher return on your loans, or 2) just stop lending.

While the Bond Vigilantes have been engaged in something like the “higher return” strategy, billionaire hedge fund founder Ray Dalio is worried about the second possibility – people not wanting to lend our government money anymore.

From Fortune:

[Speaking at CONVERGE LIVE in Singapore, Dalio said that] at some point, the U.S. will have to “sell a quantity of debt that the world is not going to want to buy.”

This is an “imminent” scenario of “paramount importance,” Dalio said.

Fortune went on to quote Wharton Business School finance professor Joao Gomes:

The most important thing about debt for people to keep in mind is you need somebody to buy it.

We used to be able to count on China, Japanese investors, the Fed to [buy the debt]. All those players are slowly going away and are actually now selling.

If at some moment these folks that have so far been happy to buy government debt from major economies decide, “You know what, I’m not too sure if this is a good investment anymore. I’m going to ask for a higher interest rate to be persuaded to hold this,” then we could have a real accident on our hands.

Dalio went on to predict that when the world runs low on buyers for U.S. Treasurys, we’ll see “shocking developments in terms of how [debt] is going to be dealt with.”

What would that mean?

Dalio points toward restructurings of debt, pressure from Washington on countries to buy the debt, and even monetization of debt.

Though Dalio didn’t explicitly say this, a study of global economic history shows that monetization of debt risks hyperinflation.

So, what do you do?

First, despite Dalio’s reference to an “imminent” crisis, it’s unlikely that some sort of economic A-bomb is right around the corner.

While we respect Dalio’s analysis, he’s been preaching similar doom-and-gloom for years at this point. Eventually, he’ll be right, but if there’s one thing our government excels at, it’s sticking fingers in dikes and kicking cans down roads.

Second, focus on what you can control rather than fearing what’s beyond your control.

While understanding and recognizing these big-picture macro movements can help inform your market choices, they shouldn’t paralyze them.

Circling back to Louis, you’re better served focusing on what he calls the “iron law” of the stock market:

Stock price trends can diverge from earnings trends for a while, but over the long term, if a company grows and grows the amount of cash it takes in, its share price is sure to head higher.

This is why Louis remains bullish during this earnings season that just began. When you limit your buying to fundamentally superior stocks that have earnings power, earnings season usually brings welcomed gains.

For the latest fundamentally superior stocks that Louis likes, click here to learn about joining him at Growth Investor.

Meanwhile, don’t forget the power of AI to help you navigate today’s tricky market

Last night, Keith Kaplan, the CEO of our corporate partner TradeSmith, went live at this AI Predictive Power Event.

It was a fantastic evening with thousands of attendees learning about TradeSmith’s AI-powered algorithm “An-E” (short for Analytical Engine).

This AI-fueled technology forecasts the share price of thousands of stocks, funds, and ETFs one month into the future along with the conviction level of that prediction. It’s equally powerful in both bull and bear markets.

To watch a free replay of the event, including examples of back-tests, just click here. Keith even gives away five of An-E’s most bearish forecasts. These are stocks that the AI platform projects will drop hard in the coming weeks.

Coming full circle…

Last September, the Fed began cutting rates (as Trump wants).

Did it result in the 10-year Treasury yield falling?

Nope. As you can see below, the two yields diverged, and the 10-year surged…

Bottom line: Trump can focus on Powell all he wants, but Louis is right…

The Bond Vigilantes are running the show.

Have a good evening,

Jeff Remsburg

Updated on April 17th, 2025 by Nathan Parsh

Investors seeking high yields may consider purchasing shares of Business Development Companies, also known as BDCs. These stocks frequently have a higher dividend yield than the broader stock market average.

Some BDCs even pay monthly dividends.

You can download our full Excel spreadsheet of all monthly dividend stocks (along with metrics that matter, like dividend yield and payout ratio) by clicking on the link below:

 

Oxford Square Capital Corporation (OXSQ) is a Business Development Company (BDC) that pays a monthly dividend. Oxford Square is also a highly yielding stock, with a yield of nearly 17% based on expected dividends for fiscal 2025. This is 12 times the average yield of the S&P 500.

However, investors should always keep in mind that the sustainability of a dividend is just as important, if not more so, than the yield itself.

BDCs often provide high levels of income, but many (including Oxford Square) have trouble maintaining their dividends, particularly during recessions. This article will examine the company’s business, growth prospects, and evaluate the safety of the dividend.

Business Overview

Oxford Square Capital Corp. is a Business Development Company (BDC) specializing in financing early- and middle-stage businesses through loans and Collateralized Loan Obligations (CLOs). You can see our full BDC list here.

The company holds a well-diversified portfolio of First–Lien, Second–Lien, and CLO equity assets spread across seven industries, with the highest exposure in business services and software, at 30.2% and 27.9%, respectively.

Source: Investor presentation

On February 28, 2025, Oxford Square announced its Q4 and 2024 results for the period ended December 31, 2024.

Source: Investor presentation

The company reported total investment income of $42.7 million for the year, a decrease of $9.1 million from the previous year. This decline was primarily due to a reduction in interest income from debt investments.

The weighted average yield on debt investments improved to 15.8% from 13.3% in the previous year. The cash distribution yield on cash income-producing CLO equity investments rose slightly to 16.2% from 15.3% on a sequential basis. The effective yield on CLO equity investments was 8.8%, down marginally from 9.6% in Q3 2024.

Total expenses were $16.2 million for the year, down significantly from $24.5 million in the prior year due to the absence of incentive fees.

As a result, net investment income (NII) totaled $26.4 million, or $0.42 per share, compared to $27.4 million, or $0.48 per share, in the previous year. The company’s net asset value (NAV) per share of $2.30 was down from $2.55 a year ago. Based on its current portfolio, Oxford Square projects to have a full-year 2025 investment income per share (IIS) of $0.42.

Growth Prospects

The company’s investment income per share had been declining at an alarming rate, as financing became cheaper, preventing Oxford Square from refinancing at its previously higher rates. Additionally, the company has historically over-distributed dividends to shareholders, thereby eroding its NAV and future income generation due to reduced asset holdings.

Considering that the Fed has not cut interest rates due to the current economic uncertainty, we expect Oxford Square to generate stable investment income per share in the near term.

The 2020 dividend cut should enable Oxford Square to retain some cash, hopefully allowing it to start regrowing its NAV. With rates unlikely to continue moving any lower for the moment, income generation should stabilize.

With investment across a wide breadth of different industries, Oxford Square has a reasonably balanced portfolio. The company’s top three industries do make up most of the portfolio, but they are in different areas of the economy. This provides some protection in the event of a downturn in one industry.

However, if rates decline over time, the company’s receivables could be further pressured, worsening its financial performance annually. Overall, we believe that the company’s future investment income generation carries substantial risks, while a potential recession and an adverse economic environment could severely damage its interest income.

Dividend Analysis

Oxford Square only recently began paying a monthly dividend, with the first being distributed in April 2019. Total dividends paid over the past few years are listed below:

• 2015 dividends: $1.14
• 2016 dividends: $1.16 (1.8% increase)
• 2017 dividends: $0.80 (31% decline)
• 2018 dividends: $0.80 (no increase)
• 2019 dividends: $0.80 (no increase)
• 2020 dividends: $0.6120 (23.5% decline)
• 2021 dividends: $0.42 (31.4% decline)
• 2022 dividends: $0.42 (Flat)
• 2023 dividends: $0.54(28.5% increase)
• 2024 dividends: $0.42 (22% decline)

Shareholders received a small increase in 2016, followed by three large dividend reductions since 2017. This inconsistency in dividend payout is due to the company’s volatile financial performance. Last year’s dividend total was negatively impacted by the absence of a $0.12 per share special dividend that occurred in 2023. The monthly payment has remained the same since the 2020 cut.

Oxford Square currently pays a monthly dividend of $0.035 per share, equaling an annualized payout of $0.42 per share.

Based on a full-year payout of $0.42 per share, Oxford Square stock yields 16.9%. Although the dividend cuts in recent years have been substantial, the dividend yield remains remarkably high. That said, investors should not focus solely on yield; dividend safety is a crucial consideration for income investors, and in this regard, Oxford Square leaves a lot to be desired.

Based on our expectation of a full-year investment income per share of $0.42 for 2025, the company is projected to maintain a 100% dividend payout ratio for 2025. However, if investment income declines from current levels, another dividend cut could result.

Final Thoughts

Oxford Square boasts a robust business model, characterized by diversification across various investment assets and industries. The company has also taken steps to build up its less risky asset position while decreasing its reliance on riskier CLOs.

That said, Sure Dividend recommends that risk-averse investors avoid Oxford Square. We believe that the dividend does not offer enough safety. The company distributes essentially all of its investment income, leaving little room for maneuver. Any decline in investment income could lead to further dividend cuts, making Oxford Square a less attractive investment option for investors seeking stable and secure sources of income.

Don’t miss the resources below for more monthly dividend stock investing research.

And see the resources below for more compelling investment ideas for dividend growth stocks and/or high-yield investment securities.