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'Pennies: Going In Raw' Podcast Episode 36 Recap: Current Market Landscape, What Sectors Could Get Hot

'Pennies: Going In Raw' Podcast Episode 36 Recap: Current Market Landscape, What Sectors Could Get Hot

On this week's "Pennies: Going In Raw," hosts Hugh Henne and Dan Knight broke down why and how the market is moving differently now than it was a few months ago.

The pair revisited some favorite stocks of retail traders such as Clover Health Investments (NASDAQ: CLOV) and FuboTV (NYSE: FUBO).

"We're seeing a decent, steady rise in the market, day by day. You're seeing switches get flipped, CLOV hit $9.20 today, Zach Morris got revived, even FUBO got news," Knight said.

Despite the steady rise in SPY the past few weeks, Henne expressed concerns that the volume of trades is lower than it was a few months ago.

"I thought that the market would go parabolic after SPY hit $400, but what I wasn't expecting, is that SPY's volume is staggering a bit. Today it did 56% of the relative average over the last four weeks," Henne said.

There are many factors that could account for less volume in SPY. One explanation is that as the economy reopens, people have more things to spend money on other than buying stocks.

"I saw something today about the amount of money from stimulus not going into the stock market this time. Last time, there was nothing to do, nothing to spend your money on, unless it was online," Knight said. "The report showed that American Airlines, Delta and all the traveling websites had the most volume that they've had in the past year."

Henne said this money going into the economy could be a really strong sign for recovery unless the Federal Reserve is more incentivized to raise interest rates based on more money being spent on goods and services as opposed to assets.

The duo then discussed specific sectors that could get hot. One of the industries mentioned was the cannabis industry with 4/20 coming up next week.

"I don't think it's a terrible thing to have some weed stocks. Just have a little bit of everything, it doesn't mean every weed will run, it is totally possible that Tilray will come out with a press release saying that they are doing special for 4/20 and that stock could run."

Henne emphasized the importance of having exposure in multiple stocks in a sector, so that if the sector runs, your portfolio will reflect it.

The rest of the episode featured highlights from the Podcast's first four episodes.

Benzinga is the sponsor of "Pennies: Going In Raw."

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