Greg Johnson,  Co-Founder & CEO at Rubicon Crypto joined Cheddar News to recap big earnings of the month and what investors should watch ahead of the November Fed meeting. 

Wake Up With Cheddar

Stocks Open Lower on Last Trading Day of October

joining us now to discuss is Greg johnson co founder and Ceo of Rubicon Crypto. Greg, thanks so much and welcome to the show, despite a mixed third quarter earnings season, as I mentioned from major companies, What do you make of the markets on this last trading day of the month here, Khloe, you just have to shake your head a little bit, don't you? I think you gave a great summary. We're about to close one of the best months in the dow in over four decades. And yet you had some incredibly disturbing earnings results from last week. You have obviously a big meeting coming up in two days that's gonna captivate everybody. And you know, the real news there is not whether or not the Fed is gonna, you know, step off of interest rates. It's it's a question of is there any glimmer of hope that they might reduce this pace of interest rate hikes that optimists would point to. So it's a very, very curious market that we're we're in. I'm all for a little rally in a bear market, but we've got a long way to go To get back to the kind of normalcy that we all got used to over the past 10 years. You know, speaking of the Fed here, obviously, you know, some expecting the Fed to hike interest rates by about three quarters of a percentage point. But there are some optimists out there who think that the Fed might actually prove a little bit less hawkish than expected. What do you think? Well, I think, I think that's wishful thinking. Honestly, I we were in the majority. We also are calling and advising that we're looking at a three quarter, you know, three quarters of a point increase. And you know, listen, I think we're in a very curious time right now where central banks not just in the United States, but central banks all across the world are grappling with, how do we stay relevant? How do we manage inflation? Used to be the adage for groups like the Federal Reserve, you know, would borrow from teddy Roosevelt, you know, speak softly, carry a big stick. And because of the way that governments are getting involved in politics are invading all facets of life, the Fed is now finding itself speaking very loudly and some are questioning whether they still carry a big stick. Now. I do have to ask as well about this rally that we've seen, you know, what do you think is driving? You know, this very strong month that we're seeing in the markets here. Well, look, I think people are always looking in the markets for good news and any glimmer of hope to kind of shake this off. I think people are gonna try and take advantage of, uh, those, those glimmers of hope, but I, I continue to be pragmatic, not pessimistic, but the reality is we're d dealing with a situation where Opec is going to play a big role in how these markets continue evolve over the next 2 to 3 months, especially through the winter season in this hemisphere. You know, we are still dealing with a very interesting situation in china almost on full lockdown, dealing with Covid, you know, the implications to smartphone sales. I mean, you know, we're going to talk about that eventually today, across the media, it's down news flash and then by the way, there is a significant war going on in europe and I don't mean to be the Debbie Downer here on Halloween, but the reality is, these are big issues that are going to continue to, I think muffle the kind of uh rebound that everybody here wants. Yeah, Greg, let's talk about earnings as well, because we are seeing earnings continue this week. We've got big names like Uber and Fizer m D among those reporting, you know, what are you expecting to see? As we mentioned, it has been kind of a mixed bag here. Yeah, I, I think you're gonna continue to see that same mixed bag. I mean, once again, the signs are, you know, we look at some of the real victories from from last week, what a shocker they were with banks, they were with oil companies. Uh, and I think if you happen to be in the right place in a sector that is able to take advantage of some of these downturns, you're going to have a stronger earning scenario than some of the other aspects of the marketplace right now. So I think it's a mixed bag. You're not going to see universal green indicators by any stretch now. Obviously there is a lot of pessimism right now. But are there still sellers left in this market or you know, have they sold all their intending to here? Well, I think there's, I I think I think there's no pessimism in the background where you are right now but Chloe, I think just to bring it to crypto for a second where I get excited where we see less pessimism is in the medium to long term rage. There are signs of major adoption in the digital asset ecosystem that are very exciting and that people should be paying attention to the big news in crypto from last week wasn't doge coin becoming the sixth biggest, you know, coin in circulation, but actually it was the signs that we're seeing from Visa and and from Western Union and Paypal, all of them with major announcements that they're investing in trademarks for one wallets and N. F. T. S and dare I even say the metaverse, the signs are hiding in plain sight. You don't need night vision goggles to see some of these long term signs of adoption. These are the things I think investors need to be looking at, not short term, but the signs of adoption for a permanent sustained recovery. They're out there. But you gotta look a little harder Greg. I'm so glad you brought that up because that was gonna be my next question. Unfortunately, we are out of time here today, Greg johnson, co founder and Ceo of Rubicon Crypto. Thanks so much.